Chile: Electronic Payroll Book – An Evolution in the Labour Regulatory System

Under Chilean labour legislation, all employers with 5 or more employees must keep an auxiliary payroll book, which must be stamped by the Chilean Internal Revenue Service. The remunerations shown in this book are the only ones that can be considered as remuneration expenses in the company’s accounting. According to the recent Ruling 877/006 dated 10 March 2021, the Labour Department has indicated that in consideration of the evolution of the regulatory system and the current technological tools and systems, it is legally permissible to comply with the aforementioned obligation through electronic procedures.

Thus, the Labour Department now offers employers an electronic remuneration book on its website, so that employers can report the standardised and monthly remuneration payments made to their employees, in a manner regarded as equivalent to the traditional remuneration book. It also states that the integration to this electronic registration system will replace, in a full and irrevocable way, the auxiliary remuneration book, and that an exceptional regime will apply for the first year of the implementation of this new procedure.

For more information on these articles or any other issues involving labour and employment matters in Chile, please contact Ricardo Tisi (Partner) of Cariola Díez Pérez-Cotapos at rtisi@cariola.cl or visit www.cariola.cl