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V0295-15 26 January 2015 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Managerial remuneration is earnings from work

The DGT clarifies that payments for administrative roles are earnings from work, and that professional partners' services are considered earnings from economic activities if certain conditions are met following the 2015 reform.

The question raised

A query is made regarding the taxation of the services provided by the aforementioned partner to the company, and whether the annual salary established in the collective bargaining agreement for employees performing the same activity can be considered the market value of the remuneration corresponding to the professional services performed by the partner.

The DGT's ruling

Remuneration for directors and members of representative bodies is considered income from employment. If the position is unpaid, no remuneration is imputed in the tax return. Professional services provided by partners who organize means of production on their own account and are registered as self-employed are considered income from economic activities. The value of transactions between related parties must be adjusted to the normal market value.

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