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PIA Press Release
2010/03/16

SSS condones penalties on unremitted contributions by employers

Davao City (16 March) -- By virtue of Republic Act 9903, the law grants the Social Security System (SSS) "A One Time Authority To Condone Penalties On Unremitted Or Delinquent Contributions By Employers," also known as the "Social Security Condonation Law of 2009."

RA 9903 was signed by SSS President and CEO Romulo L. Neri and Social Security Commission (SSC) chairman Thelmo Y. Cunanan, dated February 18, 2010.

The SSC, under its Resolution No. 110-s,2010, dated February 10, 2010, issues the rules and regulations for the effective implementation of RA 9903.

Any employer who is delinquent or has not remitted all contributions due and payable to the SSS may avail of the program including: a) those not yet registered with the SSS; b) those with pending or approved proposal under the Installment Payment Scheme of the SSS pursuant to SSC Resolution No. 380 dated June 10, 2002; c) those with pending or approved application under the Program for Acceptance of Properties Offered Through Dacion En Pago of the SSS pursuant to SSC Resolution no. 29 dated January 16, 2002; d) those with cases pending before the SSC, Courts of Office of the Prosecutor involving collection of contributions or penalties; e) those against whom judgment had been rendered involving collection of contributions or penalties but have not complied with the judgment; and f) those who before the effectivity of the Act, have settled all contributions but with accrued penalty.

To qualify, an unregistered employer shall first register with the SSS branch having jurisdiction over its place of business or household address and remit its contributions delinquency in full or submit an installment proposal under this Circular.

Upon remittance in full of the delinquent contribution or approval of the installment proposal of the employer, the short-term loan privileges of its employees shall be restored: Provided that said employees comply with other requirements of their loan applications, provided further, that said privileges shall again be suspended in the event of violation of any of the terms and conditions set thereof.

The accrued penalty of an employer who opts to settle its contribution delinquency under a different program outside the coverage of RA 9903 and/or its implementing rules and regulations (IRR), shall not be condoned or waived.

For more details, get in touch with SSS AVP Atty. Emmanuel R. Palma, Southern Mindanao Cluster; Mr. Jove L. Colasito, Branch Head, SSS Davao City branch; Erec C. Rana, SSS Davao; or Mario of the SSS Media Team. (PIA XI/SSS Davao) [top]

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