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V0817-25 16 May 2025 · SG de Tributación de las Operaciones Financieras Criterion in force
IRPF · mutualidad de previsión social

Premiums from a social mutual's liquidation may be treated as earnings from work

A social mutual in dissolution seeks advice on the tax treatment of liquidation shares distributed to its members. The DGT responds that if contributions were reduced or diminished in the taxable base, the benefits are considered earnings from work.

The question raised

Taxation of the liquidation quota to be received by mutualists on the occasion of the dissolution and liquidation of the mutual society and, where applicable, the obligation to perform withholding by the entity.

The DGT's ruling

If contributions to the mutual society were eligible for reduction or deduction in the Personal Income Tax (IRPF) taxable base, the benefits received are considered income from employment. In the case of retirement or disability, the amount exceeding the contributions that were not eligible for reduction due to failure to meet subjective requirements shall be included in the taxable base. These amounts shall be subject to withholding in accordance with the IRPF Regulations.

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