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V0435-16 4 February 2016 · SG de Tributación de las Operaciones Financieras Criterion in force
IRPF · compromisos por pensiones

Applicability of the transitional regime to pension insurance premiums under objective determination conditions

An entity has enquired whether salary reviews affect the transitional regime for insurance premiums regarding pension commitments acquired before December 2012. The DGT has ruled that the transitional regime applies if the commitment existed prior to that date and the premium amount is determined in an express, objective, and non-discretionary manner.

The question raised

Whether these salary revisions do not affect the tax regime applicable to the insurance premiums paid by the entity on behalf of the executive to meet the pension commitment acquired prior to 1 December 2012; and, therefore, whether the transitional regime provided for in transitional provision 26 of Law 35/2006 is applicable.

The DGT's ruling

The transitional regime of DT 26 LIRPF applies to collective insurance policies contracted before December 2012 with premiums of an expressly determined amount. In defined benefit systems, the premium amount must derive from actuarial calculations based on the determination of the benefit. If the benefit depends on the remuneration at the date of termination, the estimation of said remuneration for the purpose of calculating the premium is objective if it is based on the employee's annual remuneration.

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