Maximum term of a contract with an individual

How long can a contract be concluded for?

In accordance with Article 656 of the Civil Code, under a contract, one party (referred to as the contractor) undertakes to perform certain work on the instructions of the other party (customer) and deliver its result to the customer within a specified period of time, and the customer undertakes to accept the result of the work and pay for the services provided by the contractor .
The contractor does not have the right to demand an increase in price, and the customer does not have the right to demand a decrease, however, if at the conclusion of the contract it was impossible to provide for a significant increase in the cost of materials, works (services), then the contractor has the right to demand an increase in the final price for the service provided under the contract.

When concluding an employment contract, indicate that the employment contract is fixed-term and reflect the specific type of assigned work for which the employee is hired. The wording of the employment contract may be as follows: “A fixed-term employment contract was concluded in accordance with Part 1 of Art. 59 of the Labor Code of the Russian Federation due to the fact that the completion date of the work cannot be determined by a specific date (until the signing of the act of handing over the object.).

we have vacancies that we deliberately do not fill, since the company is partially idle and there is no time to report the reduction of these empty vacancies, there is a small order for a period of more than 2 months, the work for the company is ordinary, what next is not known, so as not to reduce people then and now we do not have sufficient grounds for fixed-term employment contracts, as I understand from the list of documents from your links, or is it still possible?

For what period can a contract be concluded?

The customer’s obligation to provide the contractor with a plot of land for construction, the condition of which ensures the timely start, conduct and completion of contract work, is established by Art. 747 Civil Code of the Russian Federation. Failure to fulfill this obligation gives the contractor the right to suspend the work begun, and if there are circumstances indicating that the customer will not fulfill his duties within the prescribed period, to refuse to fulfill the contract and demand compensation for losses (Article 719 of the Civil Code of the Russian Federation).

The contractor is obliged to immediately warn the customer and, until receiving instructions from him, to suspend work if it is discovered: - unsuitability or poor quality of the material, equipment, technical documentation provided by the customer or the item transferred for processing (processing); — possible adverse consequences for the customer of following his instructions on the method of performing the work;

- other circumstances beyond the control of the contractor that threaten the suitability or durability of the results of the work performed or make it impossible to complete it on time (Clause 1 of Article 716 of the Civil Code of the Russian Federation). The contractor who did not warn the customer about these circumstances, or continued work without waiting for the expiration of the period specified in the contract, and in the absence of a reasonable period for responding to the warning, or despite the customer’s timely instructions to stop work, has no right, upon presentation to him or them to the customer of the relevant requirements refers to the specified circumstances (clause 2 of Article 716 of the Civil Code of the Russian Federation).

If, under such an agreement, work is carried out to satisfy the personal needs of a person, then the customer’s rights are additionally regulated by certain provisions of the domestic contract. Carrying out design and survey work The contractor (surveyor, designer) undertakes to develop technical documentation and (or) carry out survey work on the customer’s instructions.

Under a contract for the manufacture of an item, the contractor transfers all rights to the completed item to the customer. Therefore, the GAP should not contain the phrase “wages”, as well as the terms of payment (the size of the tariff rate or salary, additional payments, allowances and incentive payments). The contract should use the wording “contract price”, “remuneration”, “cost of work (services)”.

Liability under civil law on the basis of work contracts and service contracts concluded between the parties occurs in the following forms: • compensation for actual damage; • compensation for lost profits - the income that you would have received if your right had not been violated; • payment of penalties (fines, penalties) for violations of the terms of the agreement on the grounds and in the amounts provided for by the agreement.

Hotline - Are entries made in the work book for an employee working under a contract? - No. — Is length of service applicable to individuals working under contract contracts? —The work experience used to determine labor pensions includes the periods for which contributions were made to the Social Security Fund, thus, the time the contractor worked under a contract is included in the above work experience.

When is a contract concluded?

Notification is being sent...Good always triumphs over evil. Very evil. Olga Minsk #8[1995] December 28, 2007, 12:34 I believe that a storekeeper cannot be accepted under a construction contract, since he does not have a tangible result of his work. I want to draw the moderator's attention to this message because:

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However, this action must be carried out only if it is impossible or impractical to secure the specified information directly in the contract, since the unreasonable presence of annexes to the contract increases the risk of errors, inaccuracies, and contradictions in them compared to the text of the contract itself, which can lead to negative consequences.

In practice, these concepts, unfortunately, are often confused.

Otherwise, the customer may refuse to pay a higher price for the work. Procedure for payment for work If the contract does not stipulate prepayment of the entire work or its individual parts, the customer pays the contractor the agreed price after complete completion of the work, provided that it is completed on time (or ahead of schedule with the consent of the customer ) and in an appropriate manner.

The contractor may require an advance or earnest money only in specified cases.

Important

Performing work using customer materials The Contractor must use customer materials sparingly.

If the result of the work performed does not meet the customer's expectations, the contractor may demand payment for the work performed.

Neither party to this Agreement is liable to the other party for failure to fulfill obligations due to circumstances that arose against the will and desire of the parties and which cannot be foreseen or avoided, including declared or actual war, civil unrest, epidemics, blockades, earthquakes, floods, fires and other natural disasters.

A document issued by the relevant competent authority is sufficient evidence of the existence and duration of force majeure. 4.3. A party that fails to fulfill its obligation due to force majeure must immediately notify the other party of the obstacle and its impact on the fulfillment of obligations under the Agreement. 5.

The contract must specify the terms.

An exact indication of the time when the result of the work must be transferred to the customer is a necessary condition of the contract agreement. This is the deadline for completing work, determined by the start date and the final date of completion.

The validity of the contract itself can be extended and determined in different ways, for example, until settlements are completed, and there are no strict requirements for this period.

What is essential for any entrepreneur who expects to get results at the right time is the deadline for the object to be ready. Failures can lead to adverse consequences and losses, not only for the customer, but also for his counterparties. Therefore, it is necessary to introduce into the agreement conditions establishing the contractor’s responsibility for failure to complete the work on time.

A term clause is considered established and agreed upon if it is described by some event or phenomenon that is not motivated by the decisions and desires of the parties. For example, it could be a date or the expiration of a certain period. A calendar date is a sufficient indication, but a condition that is described by periods after completion of the previous stage of work or payment periods indicates otherwise.

What are the rights and obligations of the parties?

In addition to the essential terms, it is important to agree on the powers and responsibilities of each party to the contract.
The following may be included in the terms and conditions of the actions performed by the contractor:

  1. Carrying out work using our own materials, guaranteeing their quality;
  2. Obligation to provide information about increasing deadlines, quality of material, and the need to suspend work.

Among the risks of the performer are:

  1. Possible refusal of the other party to the result and non-payment of compensation;
  2. Inability to recover additional contractor costs;

The customer's responsibilities include:

  • Provide security for work;
  • Issue technical specifications in a timely manner;
  • Accept the results of the work and pay for it.

Risks on this side:

  • No deficiencies were identified during delivery;
  • Increased costs of implementing laws.

Construction contract

In a construction contract, the contractor builds an object according to the customer’s instructions or carries out other construction work within a specified time frame. The customer provides the necessary conditions for work, accepts the result and pays for the work.

Subject of the contract for a construction contract:

  • construction or reconstruction of buildings (including residential), structures, enterprises, and other facilities;
  • installation, commissioning and other construction-related work.

When overhauling buildings, the rules of the construction contract also apply. If, under such an agreement, work is carried out to satisfy the personal needs of a person, then the rights of the customer are additionally regulated by certain provisions of the household contract.

The need to formalize agreements with hired builders

Often, customers prefer an oral agreement, discussing the main terms in words. But if conflict situations or work defects arise, the construction company may not respond to requests.

To protect your interests on legal terms, it is important to enter into an agreement in writing. It necessarily reflects the important requirements, rights and obligations of the parties. If work deadlines are violated, penalties can be imposed.

Only on the basis of a written document can compensation be recovered through the court. Otherwise, it will not be possible to confirm your right to payment.

Labor or contract agreement

  • pay financial assistance,
  • compensate the cost of vouchers to sanatorium-resort and health-improving organizations on the territory of the Russian Federation for the employee and his family members,
  • pay for treatment and medical care of their employees, their spouses, parents and children, as well as reimburse expenses for the purchase of medicines;
  • direct contributions to replenish the funded part of the labor pension in the amount of contributions transferred by the employee;
  • compensate for the cost of paying interest under credit and loan agreements aimed at purchasing or constructing housing;
  • conclude voluntary health insurance contracts for the benefit of employees;
  • etc.

Labor legislation protects the interests of the employee. In cases where the court has established that the civil process agreement actually regulates the labor relations between the employee and the employer, then the provisions of labor legislation and other acts that contain labor law norms will be applied to these relations. This is stated in Article 11 of the Labor Code of the Russian Federation.

Thus, the employer will need to make all payments provided for by the Labor Code of the Russian Federation, and, possibly, reinstate the contract executor at work. In addition, violation of labor and labor protection legislation entails the imposition of an administrative fine on officials in the amount of 1 thousand to 5 thousand rubles.

, for legal entities - from 30 thousand to 50 thousand rubles. (clause 1 of article 5.27 of the Code of Administrative Offenses of the Russian Federation). Reclassification of a civil law contract into an employment contract threatens the customer with tax consequences. Thus, insurance premiums for remuneration under work contracts are charged in a smaller amount than for payments under employment contracts. And the new employer may be charged additional insurance payments, penalties and fines.

Hello, Alina. The Civil Code does not say anything specifically about the terms. Taxes are all calculated on the basis of the work acceptance certificate. If acts are drawn up every month, then taxes are paid every month, and if upon completion of work, then accordingly also on the basis of the act. I have sent you more detailed information by email.

However, it should be noted that the parties need to clearly understand, and in accordance with this, competently draw up the contract, since simply replacing employment contracts with civil contracts on the part of both the organization and the contractor is fraught with unpleasant consequences if the court recognizes such a fact.

Legal advice

1. First, study the legal norms. This will require the Civil Code, as well as regulations relating to certain situations. For example, government procurement.

2. If you doubt anything, seek the help of lawyers.

3. Study the sample contract agreement before signing such an agreement. And later – a draft version of your contract.

4. Draw up a document with a detailed description of the conditions, scope and specific characteristics of the work.

A contract agreement implies the performance of one-time work or is drawn up for a certain period (year, season). This is a civil transaction. Similar agreements are concluded every day without any wisdom.

Working under a contract - pros and cons

The payment procedure is negotiated individually.

As already noted, the price must be determined, and determined as specifically as possible. It must be indicated in a fixed amount or a procedure for determining it must be established. The contract price must include the following elements:

  • compensation of contractor costs;
  • contractor's remuneration.

The contractor's costs are compensated for such as the cost of purchasing construction materials, wages of workers and related workers, and other costs, for example, electricity. If their compensation is not included in a separate item in the price structure, it is necessary to clarify how and on the basis of what documents compensation of these costs occurs.

Value added tax must also be reflected in the price line. It should be clear from the price formula whether it is paid, and if so, whether it is included in the full amount of the price or whether it is paid in addition to it, which should be indicated in the calculation formula.

The price may follow from the estimated cost of each type of work according to the tariff directory. Payment under a work contract, as a rule, is made in stages, either in the form of paying first an advance and then the main amount, or after agreeing and signing an acceptance certificate for one of the stages of work.

If a newly created object is transferred to the customer, then an act of acceptance and transfer of property must also be signed.

Disputes about payment under a work contract quite often arise in situations where the customer does not sign the work acceptance certificates and does not pay for them. Such disputes may result in a requirement to correct defects or reduce the price.

The advantages of working under a contract are:

  • equality of the parties;
  • lack of subordination;
  • free labor regime;
  • fixed contract price.

Among the disadvantages are:

  • work performed is not included in the insurance period;
  • there are no social guarantees;
  • the right to payment for work under the contract arises only if the customer has accepted the result of the activity.

According to paragraph 1 of Art. 703 of the Civil Code of the Russian Federation, under a contract, one party undertakes to perform certain work on the instructions of the other party and deliver its result to the customer, and the latter must accept the result and pay for it.

If an agreement is concluded for the manufacture of a thing, the contractor transfers the rights to it to the customer.

Note!

Under a contract, the contractor independently determines how to complete the task.

General provisions given in Art. 450 of the Civil Code of the Russian Federation determine the procedure for terminating these types of documents. The legislation provides the following grounds for termination of obligations:

  • mutual agreement of the parties;
  • a statement of claim by one of the parties and a subsequent court decision;
  • refusal to fulfill the terms of the contract by the customer or contractor.

The legislation introduces a restriction on the last 2 grounds, defining a clear framework for clarifying the circumstances that give rise to the need for judicial protection and unilateral termination of obligations.

If the one who withholds personal income tax under a contract is determined by the legal status of the performer of the work, the payer of insurance premiums is the customer. Any remuneration paid to them for work performed under the relevant agreement requires payment of contributions to the following extra-budgetary funds:

  • Pension Fund;
  • compulsory medical insurance fund;
  • social protection fund.

Note!

Starting from 2021, insurance premiums (except for contributions for injuries) must be transferred to the Federal Tax Service, and not to funds.

Thus, the contract has certain specifics that must be taken into account when concluding it. The essential terms of this agreement, according to the norms established by the current Civil Code of the Russian Federation, include its subject and terms. A contract agreement has a number of advantages and disadvantages compared to an employment contract.

In a service agreement, the process itself is paid for, and the contractors are paid directly for the completed result, service, or product.

If one of the parties fails to comply with the terms of the agreement, you may need the help of an experienced lawyer. We will provide high-quality legal support on issues related to civil law relations.

Our specialists will provide legal advice, protect your interests in court, and also help you win a controversial case.

If necessary, specialists will draw up a competent document themselves. Legal assistance in contractual work includes the development of the text of the agreement or its legal examination if the agreement is proposed by the second party.

During the work process, the lawyer checks the document:

  • for compliance with Russian and foreign (if necessary) laws;
  • for the presence of conditions that contradict each other;
  • for any ambiguity or technical errors.

How to negotiate contract construction work?

Based on the results of the audit, the lawyer prepares a conclusion on the advisability of the client to enter into an agreement as a whole and on specific terms proposed by the counterparty.

To get the help of a qualified lawyer, you just need to call us by phone or contact us through the feedback form and state the essence of your problem.

the obligation of the customer - a legal entity or individual entrepreneur providing work to citizens under civil contracts (hereinafter referred to as the customer), to pay for them in the prescribed manner mandatory insurance contributions for state social insurance to the Social Protection Fund;

It is an integral part of the labor organization of an enterprise (organization), it contains the main responsibilities of the employer and employee. The internal labor regulations at the enterprise are enshrined in the internal labor regulations, which are the leading form of regulation and strengthening of labor and productive discipline.

Review of the practice of resolving disputes related to the application of the Federal Law “On State Registration of Rights to Real Estate and Transactions with It”, reported in the information letter of the Presidium of the Supreme Arbitration Court of the Russian Federation dated 02.16.2001 N 59).

Attention

As a general rule, the term of validity of the contract agreed upon by the parties can be extended (prolonged). (3)* In conclusion, we note that the proposed position on your situation is based on an analysis of the legislation, explanations of government bodies, and materials of judicial practice.

01.07.16.

Info

Important Answer prepared by: Legal Support Expert GARANT Avdyushkina Evgeniya tel.

37-43-82 Svetlichnaya, magazine “Practical Accounting”, N 7, July 2015); (2)* Contract for paid services: what should you pay attention to? (D.E.

The contractor (surveyor, designer) undertakes to develop technical documentation and (or) carry out survey work according to the customer’s instructions. The customer accepts and pays for the work.

A contract is concluded for the manufacture or processing of a thing or for the performance of other work and the transfer of its result to the customer. Under a contract for the manufacture of an item, the contractor transfers all rights to the completed item to the customer. The contractor himself chooses how to perform the work. The work is done from the contractor's materials, using his own efforts and resources, unless otherwise agreed.

The contractor is responsible if his materials and equipment turned out to be of poor quality or were encumbered by the rights of third parties.

The contractor may involve subcontractors in the work (unless a ban on the involvement of third parties is specified). The contractor is then called the general contractor. He is responsible to the customer for losses caused by the subcontractor, the consequences of non-work or poor quality work of the subcontractor. The general contractor is responsible to the subcontractor for the fulfillment of obligations under the contract by the customer.

The price consists of compensation for the contractor's costs and remuneration.

The price is determined most often in three ways:

  • indication of the price in the text of the document (usually for small works);
  • determining prices based on market or exchange rates;
  • the price is determined by the contractor's estimate. The estimate must be attached to the contract.

The last price becomes valid when it is confirmed by the customer.

  • if additional work is needed, and accordingly, extra costs. The contractor must notify the customer about this in a timely manner;
  • if the price increase is deeply justified, and the customer is warned about this in advance.

If the customer does not agree to exceed the agreed price, he may withdraw from the contract. Then the contractor can demand payment for the work performed. The contractor cannot demand an increase in the fixed price, and the customer cannot demand a decrease.

When can you reconsider a fixed price:

  • change in the circumstances of order fulfillment;
  • availability of savings on the part of the contractor;
  • poor quality of work;
  • failure to use all customer materials for work;
  • significant increase in the cost of materials.

Please note that any price change must be formalized by an additional agreement to the contract. Otherwise, the customer may refuse to pay a higher price for the work.

If the contract does not stipulate prepayment of the entire work or its individual parts, the customer pays the contractor the agreed price after complete completion of the work, provided that it is completed on time (or ahead of schedule with the customer’s consent) and properly.

The contractor may require an advance or earnest money only in specified cases.

The contractor must use the customer's material sparingly. Having completed the work, he reports on the consumption of material, returns the remaining material or, by agreement with the customer, reduces the price of the work, taking into account the price of the unused material remaining with the contractor.

If the result of the work performed does not meet the customer's expectations, the contractor may demand payment for the work performed.

  • he can check the work and its quality at any time, but must not interfere with the work process;
  • if the contractor does not start work on time, or works slowly (the result of the work will obviously not appear on time), the customer can refuse the contract and demand compensation for losses.

Rules for drawing up contracts

For a document to have legal force, it is important to draw it up correctly. Only in this case can the document be identified according to its type. The following features can be highlighted:

Work agreementThe contract contains information about the date and place of execution of the agreement, the subject, and the timing of the work. The procedure for payment and collection of penalties and actions in force majeure circumstances is indicated.
Employment contractThe document includes sections - subject, rights and obligations of the parties, remuneration, rest and work time, terms of action - a certain period or unlimited, benefits and guarantees.
Service agreementThe structure of the document - subject matter, procedure for delivery and acceptance of services, timing and cost, consequences for non-fulfillment for the contractor and the customer, procedure for resolving controversial situations.

As a result of proper registration, you can expect the fulfillment of important conditions. And if disagreements arise, such a document can be used as proof of your case in court.

What do you need to know before drawing up a contract?

What is a contract?

Each enterprise, starting one or another project that it cannot complete on its own, faces the need to find a person who will take on the responsibility for solving these problems.

In order to regulate the responsibilities of the hired party when performing work that has a tangible result, it is necessary to conclude a contract. This type of obligation most often arises in construction, renovation, and when ordering scientific research.

Its essence is an agreement between the parties, one of them must perform the established and detailed work and provide its result to the second within a precisely defined period and for a fee, an agreement on the methods of determining which is also reached by the parties.

The procedure for concluding this type of contract does not differ from any other type of contract, but it is the construction contract that is most often concluded at auction. In this case, the one who wins the auction is already offered a standard form of contract approved by a government agency or board of directors, and it is impossible to make changes to it. This form, as a rule, contains all the conditions expressed in imperative, non-negotiable formulations.

Both legislation and arbitration courts proceed from the premises that an agreement will be perceived as concluded and entered into force only if its participants not only found a consensus, but correctly understood all the agreements they reached.

Often the deadline requirements are very strict, so a firm definition of them is necessary. But courts often require absolutely accurate descriptions of deadlines for other types of contract work. Any vague wording or wording based on situations that may not occur may void the contract.

The cost of work is an important point.

Price is the cost of work, expressed in money, and it includes the price of time spent, taking into account the qualifications of workers, and materials, if payment is based on an estimate, or, sometimes, the monetary equivalent of the cost of its result, for example, a built house.

It is expressed in a certain currency; now legislation requires the indication of the contract price in rubles; if a different currency is used in a contract with a foreigner, this must be conditioned by proof of registration of the contractor in a foreign jurisdiction.

If a fixed amount is not specified, the following methods can be used to calculate it:

  1. Establishment of a firm base value and an index or coefficient of its conversion for a certain period or point in time, and this index must be based on indicators established by the government authority (Central Bank discount rate, minimum wage);
  2. Establishing a certain fixed amount, for example, a rate per hour;
  3. Agreement on a tariff similar to those established by state and municipal authorities for similar operations or industry tariff guidelines.

In Russian practice, situations arise when a contract is concluded by a company with an individual, so as not to draw up a fixed-term employment contract to which its own requirements apply. This is a controversial situation, and the attention of the inspection authorities will be drawn to it. It may entail requalification of the contract, additional assessment of taxes, and recalculation of the tax base.

  • the subject of the contract is the result of the work that the other party wants to have after fulfilling the contract. We emphasize that the subject of the contract is not the work or services itself, but their result. The customer accepts and pays for the result;
  • term of the contract. Two deadlines are indicated: the beginning and the end of the work. You can also specify an interim work period (the deadline for completing each stage). The contractor is responsible for failure to meet deadlines. If the parties do not agree on the terms, then the contract is considered not concluded. The terms specified in the contract can be changed in some cases.

The main thing for the customer is the result of the work. The customer has the right to refuse to accept the work and demand compensation for damages from delay only when the contractor fails to meet the deadline.

Other clauses may also be included in the contract. This is decided by the parties themselves. The essential conditions that we mentioned above must be present. It is these conditions that distinguish a contract from other similar contracts.

What are the differences between working under an employment contract and working under a contract?

A contract between individuals is governed by the same rules of law as an agreement involving organizations. In particular, the agreement between citizens must contain conditions on the essence of the contract work, the result to be achieved, and the timing of the work. Other conditions may be included in the text of the agreement at the discretion of the parties.

Individuals can act as both customers and contractors in a contract agreement. At the same time, a citizen who is not registered as an individual entrepreneur can undertake paid work under a contract only if such activity is one-time. If contract work is carried out systematically by him, then he needs to obtain the status of an individual entrepreneur - otherwise he may be brought to administrative liability in the form of a fine of up to 2 thousand rubles. (Article 14.1 of the Code of Administrative Offenses of the Russian Federation).

A contract agreement with an individual is not much different from a standard similar contract. Only the customer here is an individual. An individual also has the right to be a contractor under the relevant contract, with the exception of the construction sector.

Contract structure

Sample structure of the type of contract under consideration:

  • Preamble indicating the persons entering into the agreement and the legal basis for their actions (Charter, power of attorney).
  • The subject of the agreement is the content of the work performed, its final result and volumes.
  • Timing (start and end date) for the contractor to perform his duties.
  • Contract price and payment procedure.
  • Quality of the result.
  • Guarantee period.
  • Acceptance and delivery of completed work.
  • Responsibility of participants.
  • Duration of the agreement.
  • Final provisions.

Carrying out work using customer materials

An estimate is required.

When paying, questions often arise about the possibility of attributing costs incurred under this agreement to the expenses of the enterprise. In case of incorrect accounting of expenses, situations of additional tax assessment may arise. In order to avoid such a situation, you need to take into account some features of concluding this type of agreement.

First of all, a number of activities are licensed. You must request a copy of the license from the counterparty. If it is not required, but the contractor is a member of a self-regulatory organization, it would be a good idea to request documentary evidence of this.

If the contract is concluded with an individual, it would also be correct to request copies of qualification certificates from him.

If the contractor does not pay VAT for one reason or another, then he must provide a document from the tax office proving the use of taxation systems without VAT.

An estimate must be attached to the contract. It is drawn up in the interests of the customer of the work; it specifies line by line all types of work and the prices agreed upon by the parties for each type. In this case, the customer has the right to verify the accuracy of the proposed prices by conducting an examination of the estimate. After its signing, the estimate becomes an integral part of the contract.

The contract may also reflect a provision on the contractor's savings; it assumes that the contractor performed the work at a lower cost than indicated in the estimate, for example, due to lower prices for materials or faster completion of the work. The contract should also describe how the savings are divided as a percentage.

Review of the practice of resolving disputes related to the application of the Federal Law “On State Registration of Rights to Real Estate and Transactions with It”, reported in the information letter of the Presidium of the Supreme Arbitration Court of the Russian Federation dated 02.16.2001 N 59). As a general rule, the duration of the contract agreed upon by the parties can be extended (prolonged).

When entering into agreements, the parties must fulfill certain obligations. The tax requirement depends on various nuances. It is necessary to determine whether the performer has Russian citizenship and whether he is an entrepreneur.

A certain amount is deducted from the work performer’s earnings. Let's look at how contributions and taxes on rewards are paid.

With an individual

There are certain nuances of paying taxes under a contract with an individual. If the citizen is not an entrepreneur, the customer withholds tax - 13%. Non-residents are charged 30%. They are recognized as a person who stays in the country for less than 183 days per year.

With a legal entity

If the contract is concluded with a legal entity, the customer company is not required to pay tax. The contractor must fulfill this obligation independently.

At the stage of concluding an agreement, make sure of the legal capacity of the executing company. This will determine what type of services are provided.

Legal capacity can be general or special. In the first situation, the organization has the right to engage in any type of activity, and obtaining a license is not required. In the second situation, special permission is required.

An organization will not be considered a tax agent for personal income tax and will not contribute funds to funds if the remuneration is transferred to an individual with the status of an individual entrepreneur. In this case, contractors independently fulfill the obligation to pay taxes for themselves.

To protect yourself from claims from a tax official, write down that the contractor is an individual entrepreneur. You must indicate the number of the state registration certificate and attach a copy of this paper. That is, the contractor will pay taxes only if he has the status of an individual entrepreneur.

Where and by whom are they compiled?

There are certain features for each form of agreement:


  1. Work agreement.
    The place of detention can be the address of the customer or the contractor. The signature is affixed by the customer - an individual, individual entrepreneur. On the part of the legal entity, the agreement is signed by the general director or his representative on the basis of a power of attorney. The agreement is concluded in simple written form and does not require notarization.

  2. Employment contract. An individual worker or construction team signs a contract on the employer's premises. In this case, the seal and signature of the enterprise and the signature of the employee are sufficient. A notary is not required to draw up an agreement, but his details must be indicated in the “Journal of Registration of Employment Contracts” at the employer’s premises.
  3. Contract for services. This agreement is drawn up on the territory of the contractor or customer. Signatures are provided by both parties. In this case, the work can only be performed by the contractor specified in the agreement. No registration or notarization is required.

It is important to observe the specifics of each form of agreement. Only in this case will the document comply with the requirements of the law and can be used as evidence in a judicial body.

Confidentiality of information

Along with the result, the contractor provides the customer with information about the operation of the subject of the contract, if this is agreed upon, or if the result of the work cannot be used without this information.

If a party has received from the other party data on new developments and technical knowledge, including those that are not protected by law, as well as data that constitute a trade secret, then the party that received such information cannot disclose it to third parties.

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