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A query was raised regarding whether the salary paid to a spouse working within the taxpayer's economic activity is a deductible expense for Personal Income Tax (IRPF). The Directorate General for Tax (DGT) ruled that it is deductible provided there is a formal employment contract, affiliation with the relevant Social Security scheme, and the remuneration does not exceed market rates.
This ruling provides legal certainty for self-employed individuals or business owners employing family members, confirming that such salaries can reduce the taxable base if they meet formal employment and market-value requirements.
The tax team reviews your specific situation.
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