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V0917-18 9 April 2018 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · imputación temporal

Income from work received via court ruling is attributed to the tax year in which the judgment becomes final

A local councillor asks which tax period should be used to declare salaries received following a court ruling and which withholdings should apply. The DGT responds that such income must be attributed to the tax year in which the judicial resolution becomes final.

The question raised

Withholding corresponding to the amounts received.

The DGT's ruling

Income from employment is attributed to the tax period in which it becomes due, but when the receipt depends on a judicial ruling, it is attributed to the period in which said ruling becomes final. The obligation to withhold arises at the moment the income is paid. Withholdings are attributed to the period in which the income is attributed, regardless of when they are applied.

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