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V0408-21 ·25 February 2021 ·consulta-vinculante Medium impact
Tax

Unduly received employment income that is repaid should not be included in Personal Income Tax (IRPF)

A taxpayer inquired whether they should include unduly received unemployment benefits in their 2020 tax return and whether they are required to file a return despite having income below €12,000. The Directorate General for Taxes (DGT) ruled that unduly received amounts are not enforceable and do not count towards IRPF calculations or the thresholds for the obligation to file a tax return.

In 6 key points

How it affects those involved

This ruling clarifies that the repayment of incorrectly received benefits does not constitute taxable income and does not trigger the obligation to file a tax return if the legitimate income remains below the legal threshold.

Lifecycle

2021-02-25PublishedPublished 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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