Private firms may do IKA?s collection job

Private companies and law firms could start chasing up employers and companies that delay the payment of social security contributions to the Social Security Foundation (IKA), according to a report by International Monetary Fund official Patrick De Mets commissioned by the government.

This will mean that social security funds will be able to turn their full attention to their serving those who are supposed to benefit from them, saving time and money and allowing them to have nothing to do with the cash side of contributions and corruption phenomena.

The idea is for the tax authorities to start collecting the social security contributions, but private companies could assist in the period until the former regain their capacity to actually collect revenues, something which has come in for much criticism.

At the same time, enterprises that have not paid their contributions to IKA for more than eight months will be forced to shut down. Favorable settlements for outstanding debts will also be restricted.

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