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V1389-15 ·5 May 2015 ·consulta-vinculante Medium impact
Tax

40% tax reduction not applicable if employment income is periodic or recurring

A worker inquired whether the 40% tax reduction could be applied to an additional payment from a retention plan paid in instalments. The DGT ruled that this is not possible because the remuneration is considered periodic or recurring in nature.

In 6 key points

How it affects those involved

This ruling clarifies that tax benefits intended for irregular income cannot be claimed for payments that, despite being paid in instalments, follow a periodic or recurring pattern.

Lifecycle

2015-05-05PublishedPublished 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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