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V3264-23 ·19 December 2023 ·consulta-vinculante Medium impact
Tax

Compensation for pecuniary damages is not exempt income and is taxed as a capital gain

A taxpayer asks whether the compensation received from an insurance company due to an error by their tax agency (which caused economic loss in the payment of a tax) is exempt from Personal Income Tax (IRPF). The DGT responds that it is not exempt because it does not involve personal injury, but rather material damage.

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2023-12-19PublishedPublished 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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