Update requires Caja OK for many transactions

A change in law is about to be approved that prohibits individuals and companies that are not up to date with their social security payments from doing business with the government and its agencies.

The measure is designed to cut down on the number of deadbeats on the rolls of the Caja Costarricense de Seguro Social.

The measure says that any person or entity seeking tax exemptions, permits, concessions or approval
of other paperwork has to be paid up with the Caja. If a company hires subcontractors, the principal firm is responsible for seeing that the firms that are hired to do government work also are up to date, the measure says.

Individuals doing business with the government have to be enrolled themselves, either as employers or as an independent business person, it says.

The Caja reports that only 0.38 percent of its employers are behind on payments. One big deadbeat is the central government itself, which owes millions of colons on behalf of its employees.

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