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The taxpayer asks whether they can deduct the Social Security contributions paid for their spouse, who assists in their economic activity. The Directorate General for Taxes (DGT) rules that, provided the requirements of regular work and market-rate remuneration are met, the taxpayer may deduct these contributions as a business expense.
This ruling clarifies the conditions under which social security payments for family members working in a business can be treated as deductible expenses, emphasizing the need for genuine employment relationships and fair pay.
The tax team reviews your specific situation.
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