According to Keva's instructions, work done for the public sector must always be subject to withholding a pension insurance payment if the light entrepreneur is not insured with YEL insurance. Depending on the field of client, the local government pensions contribution (KuEL) or the public sector pension contribution (JuEL) is deducted from the invoice.
A pension insurance payment must be deducted from work done for the public sector, even if the light entrepreneur is not obliged to take out YEL insurance due to small entrepreneurial activity. The pension insurance payment is about 6-8% of the invoice.
The public sector should ask the light entrepreneur about the existence of YEL insurance. If there is no insurance, the pension insurance payment is deducted from the invoice amount. UKKO.fi identifies the public sector contribution with an insufficient amount and contacts the public sector to ensure a possible pension insurance contribution.
Once the confirmation has been received, UKKO.fi rejects the original invoice and creates a new invoice for the amount received. A new replacement credit note will not be sent automatically. UKKO.fi notifies the light entrepreneur of the events.
Note! Both the invoicing service UKKO.fi and the client of the public sector are both required to report the same salary. This means that that salary appears twice in the income register. It is the responsibility of the light entrepreneur to ask the Tax Administration and other potential users of income register to take into account that the same income has been declared twice.