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V2093-17 ·4 August 2017 ·consulta-vinculante Medium impact
Tax

Withholding tax on prizes in kind must be made in the name of the minor recipient

A query was raised regarding who holds the title for withholdings or payments on account when winners of drawing or literature competitions are minors. The DGT has ruled that the title belongs to the prize winners themselves, regardless of their status as minors.

In 6 key points

How it affects those involved

This ruling clarifies that tax obligations and withholdings for prizes awarded to minors must be registered under the minor's own identity, ensuring correct tax reporting for non-monetary prizes.

Lifecycle

2017-08-04PublishedPublished 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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