Undeclared work

What is undeclared work?

[fusion_dropcap color="var(--awb-color4)" class="fusion-content-tb-dropcap"]B[/fusion_dropcap]ei Schwarzarbeit handelt es sich um bezahlte Arbeit, die jedoch behördlich nicht angemeldet wurde und illegal ist. Es werden auf diese Tätigkeit weder Sozialabgaben noch Steuern bezahlt. Sie wird unter der illegalen Schattenwirtschaft eingegliedert.

How is undeclared work agreed?

Illegal employment is not recorded anywhere in writing. Everything is agreed verbally. Corresponding remuneration is paid out in cash without it appearing in the accounts and taxes are withheld and paid to health insurance funds and the tax office.

What does not count as undeclared work?

There are some activities that are not classified as illegal employment. The following activities are not categorised as illegal black economy:

• Assistance provided by life partners
• Assistance from other relatives
• Neighbourly help and favours

However, it is important here that the employment is only of a short-term nature. The activity must also not be aimed at making a sustainable profit.

What is the purpose of undeclared work?

Companies want to work with Undeclared work Employing people and having work done, as well as saving on taxes and social security contributions. Undeclared work is not only a good way for companies to save money. Employees also benefit as they do not have to pay any taxes.

What are the consequences of undeclared work?

Illegal employment is not a trivial offence. It is illegal and is punished at least as an administrative offence. In most cases, it is prosecuted as a criminal offence (tax evasion, benefit fraud, misappropriation of funds). Administrative offences are punished with fines. Criminal offences, on the other hand, can result in even higher fines or even imprisonment.

Does bogus self-employment also count as illegal employment?

Pseudo-self-employment is also subject to the Undeclared work assigned. It is a special form. A self-employed person enters into a service or work contract with only one client. However, an employment relationship would have to be concluded in such a case, as the "self-employed person" has no choice but to work for other clients.

It is also good to know that the billing of event and trade fair staff via self-employment is prohibited by law due to bogus self-employment. Anyone wishing to work as a host/hostess or promoter can only do so via a legally secure employment.