Skip to content
Back to index
V0803-20 8 April 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · reducción por inicio de actividad

The reduction for commencement of activity may be applied if no economic activity was carried out in the previous year

A professional inquired whether she could apply the reduction for commencement of activity after having ceased her previous activity. The DGT responds that the requirement of not having carried out activity in the year immediately preceding the start of the new one is met.

The question raised

Question posed: Application of the reduction for commencement of activity.

The DGT's ruling

To apply the 20% reduction on positive net income under the direct estimation method, an activity is understood to commence when no economic activity has been carried out in the year prior to the commencement date. Activities in which business was ceased without having obtained positive net income are not taken into account. In this case, as the activity ceased on May 17, 2017, and the new one began on June 18, 2018, the requirement of not having carried out activity in the immediately preceding year is met.

Email
Contact