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V0670-18 14 March 2018 · SG de Fiscalidad Internacional Criterion in force
IRNR · retención

Retention of IRNR on delayed payments to a non-resident worker

An entity asks whether IRNR retention is required on 2016 salaries paid in 2017 to a non-resident worker. The DGT confirms that retention applies under temporary imputation rules.

The question raised

Whether the withholding of employment income must be carried out considering the worker is a non-resident for tax purposes in Spain.

The DGT's ruling

The obligation to withhold arises at the time the tax accrues. According to the applicable regulations, when employment income is received in periods different from those in which it was due due to circumstances not attributable to the taxpayer, it shall be imputed to the period in which it was due. Therefore, the withholding for Non-Resident Income Tax is appropriate.

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