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A civil servant has enquired about the taxation of professional career increments received in 2020, covering the period from 2015 to 2019. The Directorate General for Taxes (DGT) indicates that these must be attributed to the period in which they became due and that the reduction for income with a generation period exceeding two years may apply.
This ruling clarifies the temporal attribution of backdated salary increments for civil servants, potentially allowing for tax relief through the specific reduction for income generated over multiple years.
The tax team reviews your specific situation.
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