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V0888-19 24 April 2019 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · beca de investigación

Research grants are not exempt from Income Tax if not linked to official doctoral studies

A taxpayer inquired whether a €6,000 research grant awarded by a local council (Cabildo) is exempt from taxation. The Directorate General for Taxes (DGT) ruled that it must be taxed as employment income, as it does not meet the specific exemption requirements for research grants.

The question raised

Whether said grant is exempt from taxation or not.

The DGT's ruling

Research grants are only exempt if they are framed within Royal Decree 63/2006 and are linked to official doctoral studies, or if they are granted to civil servants or public administration personnel for research purposes. As the scholarship in question is not linked to doctoral studies, the exemption under Article 7.j) of the Personal Income Tax Law (LIRPF) does not apply, and it must be taxed as employment income. The amount is imputed to the tax period in which it becomes due.

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