The Government has adopted a law amendment entailing a change in the employers' deadline for payment of frozen holiday funds to the Employee's Fund for Residual Holiday Funds in those cases where the employer chooses to pay the accrued holiday funds immediately.
What you need to know:
If you as an employer want to pay the accrued holiday funds for one or more of your employees from the "transition period" to the Employee's Fund for Residual Holiday Funds immediately, you must be aware that the deadline for payment has been changed.
The change implies that you as employer cannot report and pay the funds to the Fund at the same time. Instead you must start by only reporting the payment to the Fund. The deadline for reporting is, however, still on 31 December 2020, and it is therefore still important that you remember to submit the report before this deadline.
The payment of the funds can then be made in connection with the first ordinary payment which is collected before the end of July 2021 and with a deadline on 1 September 2021, which is thus the new deadline for the payment. If you in your reporting in December has stated that you want to make an aggregate payment for one or more of your employees, you will before the end of July 2021 receive an invoice for the payment of this amount with a payment due date on 1 September 2021.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.