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V0574-17 ·7 March 2017 ·consulta-vinculante Medium impact
Tax

Compensation for non-pecuniary damages is exempt from Income Tax, but legal defence costs are not

An individual received compensation for state liability following an error in a public competitive examination. The Tax Agency has ruled that while the portion for non-pecuniary damages is exempt, the portion covering legal and expert fees must be taxed.

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2017-03-07PublishedPublished 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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