BDS Publications

#CostaRica 🇨🇷 #BDS_LaborAlert: Independent Workers Law Published: New Rules and Statute of Limitations for Obligations

Written by BDS Asesores | May 18, 2023 9:20:47 PM
On Monday, May 8th, Act No. 10363, known as the "Independent Workers Law," was published in Item 80 of Official Gazette No. 79. This law establishes a statute of limitations period of 4 years for the Costa Rican Social Security Administration (CCSS) to determine contributory obligations, impose penalties, and collect obligation amounts from taxpayers.
 
Only in cases where the independent worker is not registered, fails to fulfill their reporting duties, or submits fraudulent statements, a statute of limitations period of ten years will apply.
 
This law aims to encourage independent workers with outstanding debts, as well as those who have not registered with the CCSS, to regularize their situation. It establishes a 24-month amnesty period for such workers to register and enjoy the 4-year statute of limitations period. After the 24-month amnesty period, independent workers who have failed to register with the CCSS will be subject to the ten-year statute of limitations period.
 
For this statute of limitations to apply, the independent worker must request it, either administratively or through the courts.
 
Independent workers who have acquired debts with the CCSS before the entry into force of this law may enjoy the 4-year statute of limitations period, regardless of whether they have ongoing proceedings with the social security administration.
 
These benefits do not apply to employment relationships, but only to independent workers, defined by the law as those who perform work autonomously, without subordination, and assuming the risks of their activity.
 
The CCSS has six months to make the necessary adjustments to its systems for the implementation of this law. However, this does not prevent its immediate enforcement, as it has been in effect since Monday, May 8th, the date on which it was published.