Legal representatives of three different companies were sentenced to imprisonment for having evaded contributions to the Social Security Institute (IPS), even though the employee contribution from their employees was deducted. The evasion occurred after the employers, having deducted the amount corresponding to the employees’ social security contribution due (9% of the salary), did not pay such amount to the IPS.
This ruling represents the first conviction for this type of criminal offense related to the obligation of employers to withhold and pay to the IPS 9% of the salary paid to the employees as employee contribution, in addition to having to pay the employer's contribution equivalent to 16.5% of the salary paid to the employee.