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Tuesday 23.01.2018 | Name days: Strauta, Grieta
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SRS to check if construction companies use electronic work time tracking system

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Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RUTo check how construction companies are doing with electronic work time tracking system’s introduction, Latvian State Revenue Service has commenced inspections in the construction sector, BNN was informed by SRS.

The goal of the inspections is making sure construction companies comply with new requirements, as well as to motivate businessmen to prevent possible problems in a timely fashion.

SRS reminds that amendments to the Law on Taxes and Duties came into force 1 July. These amendments provide for measures intended for identification of employees and work time registration by introducing an electronic system. In accordance with the law, electronic work time tracking system is to be introduced starting from 1 October 2017. The new order applies to third party construction sites, whose costs exceed one million euros.

«To allow construction companies to adapt to the new order and give them time train employees in the use of the system, SRS will not apply fines initially. The goal of inspections is not to punish businessmen, but rather study the situation at construction sites,» SRS notes.

BNN had previously reported that one of the main grey economy factors in construction field until now has been the lack of work time tracking. Although the general hourly rate for employees of the construction sector in eight months of 2017 is 1.3% higher than the average in the country, average income is 7.1% below the average in the country.

One of the reasons behind low wages may be unchecked work time of construction employees. To ensure fair competition in the construction sector, it is important to ensure that the new work time registration order is complied with by all construction companies whose projects fit criteria detailed in the law.

Ref: 224.109.109.3609


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