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V0267-21 16 February 2021 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Payments to external experts classified as employment income rather than business income

A public entity sought clarification on whether payments to external experts for evaluation committees should be treated as business income or employment income. The Directorate General for Taxes (DGT) ruled that they constitute employment income, unless the expert is specifically selected due to their prior professional activity.

The question raised

Classification, for the purposes of withholding tax, of the remuneration paid to external experts.

The DGT's ruling

Remuneration paid to external experts constitutes income from employment because it derives from their personal labor without an independent organization of means of production. It is not considered income from economic activities if the expert is not selected for their specific professional activity. The applicable withholding rate is the general rate according to the procedure set forth in the Personal Income Tax Regulations. The reduced rates for teaching courses or delivering lectures cannot be applied as it does not constitute didactic work.

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