Question & AnswerQ&A (Republic Act No. 9903)
The short title of Republic Act No. 9903 is the "Social Security Condonation Law of 2009."
Any employer who is delinquent or has not remitted all contributions due and payable to the Social Security System (SSS), including those with pending cases related to collection of contributions and/or penalties, can avail of the penalty condonation within six (6) months from the effectivity of the Act.
The delinquent employer must either remit all due contributions or submit a proposal to pay them in installments, along with the corresponding collection lists.
Upon approval and payment in full or in installments of the delinquent contributions, all pending cases filed against the employer shall be withdrawn. However, the cases may be refilled if the employer fails to remit full payment or defaults on the installment plan.
The employer must remit a downpayment of not less than five percent (5%) of the total contribution delinquency upon submission of the proposal.
The balance of the delinquent contributions must be paid in equal monthly installments within a period not exceeding forty-eight (48) months from the date the proposal is approved.
Yes, the installment payments shall bear an interest of three percent (3%) per annum.
The Act condones the penalty provided under Section 22(a) of Republic Act No. 8282 on delinquent or unremitted contributions to the SSS.
If the employer fails to remit the full contributions or defaults on installment payments within the availment period, the penalties are deemed reimposed from the time the contributions first became due and will continue to accrue until full payment is made.
Yes, employers who settled arrears in contributions before the effectivity of this Act shall have their accrued penalties waived for reasons of equity.
This Act took effect fifteen (15) days after its publication in the Official Gazette or in at least two (2) newspapers of general circulation.
The Social Security Commission is responsible for issuing the necessary rules and regulations within thirty (30) days after the effectivity of this Act.
If any provision of the Act is declared unconstitutional, the validity of the other provisions shall not be affected by such declaration.
The repealing clause ensures that all laws, decrees, orders, rules, and regulations inconsistent with this Act are repealed or modified accordingly to avoid conflicts.