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A company has requested clarification on whether subsistence allowances for employees working outside their usual municipality are limited to nine months per year if they do not stay overnight. The Directorate-General for Taxes (DGT) has ruled that the nine-month time limit only applies when there is continuous presence, which is not the case if no overnight stay occurs.
This ruling provides legal certainty for companies regarding the tax treatment of subsistence allowances, confirming that the nine-month exemption limit is not triggered by daily travel without overnight stays.
The tax team reviews your specific situation.
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