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V0072-20 ·15 January 2020 ·consulta-vinculante Medium impact
Tax

Production bonus not exempt from IRPF as not a dismissal indemnity

The DGT confirms that a production bonus paid upon termination of the employment relationship does not benefit from the exemption for dismissal indemnities, as it is linked to performance and service continuity, not job loss.

In 5 key points

How it affects those involved

Employers must treat production bonuses as taxable income upon termination of employment, as they do not qualify for the exemption granted to dismissal indemnities.

Lifecycle

2020-01-15PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

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This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
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