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V0081-18 ·18 January 2018 ·consulta-vinculante Medium impact
Tax

Stock investment bonuses may constitute benefits in kind if stipulated in contracts or collective agreements

A query was raised regarding whether a company's contribution to an employee's investment in parent company shares can be considered an exempt benefit in kind. The DGT clarifies that if funds are handed to the employee to invest, it is cash income; however, if the company pays a third party directly due to a contractual obligation, it may be classified as a benefit in kind.

In 6 key points

How it affects those involved

This ruling clarifies the tax treatment of corporate stock schemes, distinguishing between cash bonuses and direct payments to third parties, which affects how companies structure employee share incentive plans to manage tax liabilities.

Lifecycle

2018-01-18PublishedPublished 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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