Retirement premium

Gifts in kind, in cash or in the form of payment vouchers, called gift vouchers, are considered to be tax-exempt benefits under the following cumulative conditions:

a) all staff members must receive the same benefit;

b) the vouchers must be awarded on retirement (= statutory pension but in principle also for early retirement in view of the system of unemployment with employer supplement ("early retirement"));

c) the total amount awarded may not exceed EUR 40 per full year of service provided by the employee to the employer offering the gift, subject to a minimum of EUR 120;

d) the gift vouchers meet the following conditions:

• they may only be exchanged with companies that have concluded a prior agreement with the issuers of these payment vouchers;
• they must have a time-limited validity;
• they may not be paid in cash to the beneficiary, either in full or in part.

More generally, gifts in kind, cash or gift vouchers that have a modest value - set by the tax authorities at a maximum of EUR 50 per employee per year - and are awarded for an obvious social purpose are also considered tax-exempt social benefits, but are not in principle deductible (see the "deductibility" section).

If gifts in kind, in cash or gift vouchers do not meet the above conditions, they are considered, in principle for their full value, to be a taxable benefit.