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V0282-15 26 January 2015 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del capital mobiliario

Swiss withholding taxes on fixed income may be deductible in IRPF

The consultant asks whether Swiss banks' withholdings on interest and share transfers are deductible in their IRPF. The DGT responds that withholdings under the EU-Switzerland agreement are deductible as advance payments.

The question raised

Whether the withholdings applied to the taxpayer are deductible in their Personal Income Tax return.

The DGT's ruling

The withholdings applied in Switzerland pursuant to the Agreement relating to Directive 2003/48/EC on taxation of savings income are deductible from the net Personal Income Tax liability in accordance with Article 99.11 of the LIRPF. Likewise, if withholdings had been applied in Spain on interest from securities issued by the Generalitat de Catalunya, these would be deductible through the application of Article 79.f) of the LIRPF.

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