o v e m b e r 2 0 2 0 N s s u e C W 4 8 I FREE SERVICE OF: A GLOBAL MOBILITY SOLUTIONS CONVINUS 70, 8001 ZÜRICH, SCHWEIZ TALSTRASSE / INFO@CONVINUS.COM WWW.CONVINUS.COM UNITED KINGDOM: IMMIGRATION ACT NEW FROM 31 DECEMBER 2020 AS N e w s f r o m t h e w o r l d o f g l o b a l e m o b i l i t y BUY 1 - GET 1 FREE SHOP.CONVINUS.COM ON EVERY WEBINAR* CHOOSE FROM OVER 40 SUBJECTS *COMING UP OR RECORDED The government of Israel does not allow entries of tourists and business travellers due to COVID-19. All countries have been divided into "green" and "red", according to which entry into Israel is allowed or not. With the new Business-VIP regulation, business travellers from "green" countries can travel to Israel and do not have to go into quarantine. The business trip may not exceed 7 days and is only permitted for the purpose of sharing expertise, continuing business, maintaining made investments and negotiating. Trips are only allowed for business reasons and must be reported 7 days before entry. Furthermore, entry is only permitted with a health insurance policy that covers treatment based on COVID-19. Until recently, Switzerland had a similar regulation regarding the length of stay of a business traveller from a risk country who did not need to be in quarantine for a trip ISRAEL: BUSINESS-VIP NEW of up to 5 days but was subject to a leisure quarantine. ENTRY RULE On 31 December 2020 at 11pm (local time), the new United Kingdom (UK) Immigration Act will come into force. The new UK Immigration Act will replace the Agreement on the Freedom of Movement of Persons which exists between the UK and the European Union (EU). The new Immigration Act will bring the following changes, among other benefits: Introduction of a new points-based immigration system, which is to encourage employers to focus on training and to invest in the UK workforce. Only applicants who have accumulated enough points under the new immigration system will be able to immigrate to the UK. People who want to work and live in the UK would need to obtain a permission first. Work permit applications will be judged solely on the skills and contributions of the applicant. Introduction of a programme to facilitate entry for scientists, academics, investors, entrepreneurs, and people who are working in the health and care sector. The above changes will not apply to Irish nationals. Nationals from the remaining EU countries, European Economic Area (EEA) countries and Switzerland who move to the UK before December 31, 2020 would be required to enrol in the Settlement Scheme in order to be able to continue living and working in the UK after June 30, 2021. Among other things, the following adjustments need to be considered for the German payroll accounting for 2021: The solidarity surcharge will be partially abolished. The income tax rate will be adjusted (e.g. increase of the basic allowance to EUR 9,744 per year). The tax-free allowances for children will be increased and an increase in child allowances is planned. The income threshold for contributions to statutory health and nursing care insurance will rise to 58,050 EUR per year. The average additional contribution to the statutory health insurance increases to 1.3%. The income threshold for the statutory pension insurance increases to 85,200 EUR (West) and 80,400 EUR (East) per year. As every year, the payroll department should deal with the adjustments in good time GERMANY: CHANGES IN 2021 PAYROLL and incorporate the changes in their accounting systems. SWITZERLAND: PROTOCOLS TO DOUBLE TAXATION AGREEMENTS WITH AMENDMENT LIECHTENSTEIN, MALTA AND CYPRUS In its meeting on November 11, 2020, the Swiss Federal Council passed and communicated amendment protocols to the double taxation agreements (DTAs) with Liechtenstein, Malta and Cyprus. As with all amendment protocols signed in previous years, the agreements contain an abuse clause to ensure that the DTAs are not misused. In addition, the possibility of using mutual agreement procedures is strengthened with the agreements, which is an additional measure to help to avoid double taxation. The amendment protocols were evaluated positively, particularly by the cantons and interested business representatives. However, before the protocols can enter into force, the legislative bodies in the concerned countries have to give their approval.