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V0483-15 6 February 2015 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Salary differences and legal interest following a judicial ruling are taxed in the fiscal year they become final

A taxpayer asks how to tax salary differences and legal interest received following a judicial ruling. The DGT responds that the differences are income from employment and the interest constitutes capital gains, both being attributed to the fiscal year in which the ruling becomes final.

The question raised

Taxation in the Personal Income Tax (IRPF) of salary differences and interest.

The DGT's ruling

Salary differences are income from employment and are attributed to the period in which the ruling determining their amount becomes final. If these differences span more than two years, the 40% reduction could apply. Legal interest, being compensatory, constitutes capital gains that are attributed to the fiscal year in which they are quantified and their payment is agreed upon. As they indemnify a period exceeding one year, these interests are integrated into the savings tax base.

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