Elections to the Knesset: A guide for employers, business owners and suppliers
How much do they pay an employee who stays home on election day? What The reward for employees on Election DayHow do you handle income from providing services below election time? In addition to operational preparations, it is important to arrange the salary calculations, taxation, and documentation in advance..
Who is entitled to wages on the Sabbath day??
As a general rule, an employee who has been employed by their employer for at least 14 consecutive days near the elections and is absent due to leave, The employee is entitled to the salary that would have been earned on that day. There is no deduction for the employee entitled to a day off from the vacation allowance..
For An employee on a monthly salary means maintaining the regular salary. For an employee on a hourly or daily basis, the salary that they would have received if they worked full-time must be calculated. When the scope of work changes, an examination of the employment pattern and the appropriate calculation method are required. An employee on a part-time basis, whose day of work is not their workday anyway, is not entitled to additional payment solely because of the election..
Is it possible to run the business??
The Sabbath day is not a blanket prohibition on the opening of businesses. In services that are not exempt from the Sabbath, employing a worker eligible for the Sabbath requires their consent. Transportation services and public services that are determined to continue operating will continue to operate in accordance with the regulations, and employees with the right to vote must be allowed to vote..
How much do they pay those who work on Election Day??
According to customary practice and accepted interpretation, employees eligible for the increased remuneration receive a total salary of 200%, or regular salary plus vacation hours as the number of actual working hours..
For example, an employee who is entitled to the arrangement, whose salary is 50 shekels per hour and works eight regular hours, will receive 800 shekels under the cash payment option. The amount includes the leave component and the payment for the work..
In the case of a monthly employee, the leave component is already included in the salary, and therefore the supplement must be calculated accordingly. Overtime hours, shifts that extend beyond the election day, and favorable arrangements require a separate calculation..
Do the instructions apply to all employees??
There are exceptions. For example, foreign workers who are not citizens of Israel in the fields of domestic nursing, hotel and restaurant management, construction, agriculture and industry are not entitled to leave under the arrangement, and working on Election Day in itself does not entitle them to the aforementioned additional salary..
What is the tax on work during the election period??
The special tax on payments that meet the conditions of the law is 18%. According to the directive of the Authority Taxes For the 26th Knesset elections, the total payment ceiling for the recipient under the arrangement is 19,600 shekels..
The deduction also depends on the payer’s identity, the period of work, and the nature of the contract. The arrangement does not apply to payments made as part of the recipient’s business or by his/her representative, and other rules apply to payments to minors under 18. Therefore, an advertising agency, consultant, or business provider cannot assume that their income from a business is subject to a final tax of 18%. The reporting obligations, withholding at source, and VAT must be examined according to the circumstances of the contract..
How suppliers prepare for the election campaign?
It is recommended to obtain a signed work order, to identify the entity liable for payment and the Morshi Signature, setting down a down payment, milestones, and the repayment date. Keep documentation of the service and the deliverables provided..
Even providing services without compensation or waiving a debt requires examination: they may raise questions of contribution under the laws governing the financing of political parties. The law prohibits a party from receiving contributions from a corporation..
What is worth doing right now??
Check the employees' eligibility, arrange shifts, and provide instructions. To thoughtsWe reviewed the salary and classified the election payments before they were made..
The Barzali team is at your disposal to prepare and assess the implications of wages and taxes in accordance with your activity..
