Back to index
V0472-26 27 February 2026 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · exención

Exemption for foreign work depends on recipient entity being non-resident in Spain

A Spanish tax resident asks whether the exemption for work abroad applies when working for a Malta-based company with a branch in the Czech Republic. The DGT states that the exemption applies if the conditions of displacement, the nature of the employer, and the tax regime of the destination country are met.

The question raised

Question raised 1.- Whether the exemption regulated in Article 7 p) of the Personal Income Tax Law is applicable.

The DGT's ruling

To apply the exemption under Article 7 p) of the Personal Income Tax Law (LIRPF), the work must be effectively performed outside of Spain and for a non-resident entity or a permanent establishment abroad. The exemption applies to remuneration accrued during the days of stay abroad, with an annual limit of 60,100 euros. It is not necessary for the income to have been effectively taxed abroad; it is sufficient that a tax of an identical or analogous nature is applied in that territory and that it is not a tax haven. The application will depend on proving that the ultimate beneficiary of the services is an entity that is not a resident in Spain.

Apply this to a real case

What is published here, applied to a company or a specific case. The first meeting is free.

Book a meeting Write to the firm
Email
Contact