Skip to content
V1793-20 ·5 June 2020 ·consulta-vinculante Medium impact
Tax

Compensation for absolute permanent disability paid by a local council is taxable as employment income

A local council employee received €37,000 in compensation for absolute permanent disability following a heart attack. The Directorate General of Taxes (DGT) has ruled that this amount is not exempt from Personal Income Tax (IRPF) and must be taxed as employment income.

In 6 key points

Lifecycle

2020-06-05PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

Does this provision affect you?

The tax team reviews your specific situation.

Talk to the tax team
This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
Email
Contact