Uber and Didi can withhold taxes from drivers

People who have decided to work independently via digital platforms such as Uber, Didi, Easy Taxy and Cabify, among others, Companies will have the opportunity to keep their taxes and return them to the Tax Administration Service (SAT).

Since April 2019, the Diverse Tax Resolution (CMR) has established this measure with which digital businesses will be able to retain their partners between three and nine percent of your monthly income from income tax, based on your income level, and 8% of value-added tax, regardless of your income.

It is important to mention that the application of this retention will be optional for all digital platforms. However, Rates will be the same for all businesses, whether it is transportation service employees or home food deliveries.

This new SAT plan is to give companies the opportunity to directly withhold taxes, which would be considered a definitive payment. Although, as a result, the partners must not make any statements, according to the director of the consulting firm Fiscalia, Gustavo Leal, this poses a problem for drivers.

"Most people taxed in the Tax Incentive Plan (RIF), which does not pay tax in the early years, but now, if Uber or another platform decides to put this system to retain the Tax, this will be the final payment ", he explained in an interview with the newspaper The financier

On the other hand, the goal of the SAT with this new measure, according to tax specialists, is to increase the collection of VAT and SRI from those who provide this type of services. Until now, only Didi has confirmed his integration into the conservation system.

Companies that choose to make deductions must provide each individual with tax receipt and payment information, which must contain income data for travel and, in addition, income should be broken down actually collected and taxes withheld during that month.

The situation for digital transport service platforms At the global level, this is not the best, because in Uber and London, Uber drivers went on strike Wednesday to protest the company 's statements regarding plans to reduce wages and eliminate incentives after entering the stock market.

In this context, Support for the decision to strike was strong. In both countries, many drivers have not left home and have even been Supported by users via social networks with the hashtag #UberShutDown. In addition, in Chicago, Lyft drivers joined the event.

In this regard, Dara Khorowshani, CEO of Uber, said: He promised a better deal to drivers. But the perception of union leaders who support the strike is totally opposed. James Farrar, president of the UK's United Drivers' Union, United Private Hire Driver, said that "It's the drivers who created this extraordinary wealth, but they are still denied the most basic labor rights".