Increased compensation for remote working up to EUR 40 per month

From 01.01.2024, according to amendments reviewed by the Cabinet of Ministers to the Law on personal income tax , compensation for employee expenses related to remote work is increased to EUR 40 per month. The Law on personal income tax provides that the expenses of an employee related to the performance of remote work, which are covered by the employer, shall be exempt from taxation if the total amount thereof does not exceed EUR 40 (previously EUR 30) per month for full-time work. In order to be exempt from taxation, the following conditions must be met:

1) the agreement regarding the performance of remote work is specified in the employment contract or by an order of the employer and it is indicated what expenses the employer compensates,

2) expenses related to the performance of remote work shall be covered by the employer to whom the employee's payroll tax book has been submitted,

3) the amount of expenses related to the performance of remote work shall be determined in proportion to the load and the number of remote working days per month indicated in the contract or order, if the work is performed both remotely and in the workplace.

This provision is further intended to be included in the law as an autonomous provision.