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V0184-23 ·7 February 2023 ·consulta-vinculante Medium impact
Tax

Back pay for professional career progression is taxed in the year the right is administratively recognised

A healthcare professional enquired which tax year should be used to declare back pay received following the recognition of their professional career. The DGT ruled that these amounts must be attributed to the year in which the administrative resolution becomes enforceable.

In 6 key points

How it affects those involved

This ruling clarifies the timing of tax liability for retroactive payments resulting from administrative decisions, ensuring consistency in the application of the principle of enforceability for income from employment.

Lifecycle

2023-02-07PublishedPublished 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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