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New guides on the latest Spanish tax and immigration developments.
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A Civil Guard officer inquired whether the 30% reduction under Article 18.2 of the Personal Income Tax Law (LIRPF) could be applied to 2022 payments consisting of structural productivity arrears from 2017 to 2021. The Directorate General for Taxes (DGT) ruled that it is applicable provided all legal requirements are met.
This ruling clarifies the eligibility for tax relief on retroactive payments, confirming that the period of generation is the determining factor for applying the reduction.
The tax team reviews your specific situation.
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