In a judgment handed down by the 2nd Panel of the Superior Chamber of the Administrative Council of Tax Appeals (CARF), it was understood that no social security contribution is levied on the retention bonus, given that such amounts are not of a remunerative nature.
The retention bonus is nothing more than an amount paid to the employee for remaining in the job for the period stipulated in a specific clause in the employment contract.
The dissenting vote was that of the rapporteur, in the case under consideration at CARF, according to which the payment of amounts related to retention bonuses does not arise from the provision of services in itself, but rather from the mere obligation of the company to do so, after having negotiated a clause in the employment contract.
