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V0979-24 10 May 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · subrogación empresarial

Company subrogation through transfer of ownership does not imply the existence of two IRPF payers

A query was raised regarding whether a worker subrogated from one company to another within the same group has two separate payers for Personal Income Tax (IRPF). The Directorate-General for Tax Administration (DGT) ruled that, where a business succession occurs, the transferee company maintains the status of the same payer.

The question raised

For the purposes of the obligation to file a tax return for IRPF-2023, a question is asked regarding the existence of one or two payers "If a company decides to subrogate a worker from one company to another (companies within the same group) during the 2023 tax year without changing the working conditions and without labor discontinuity".

The DGT's ruling

If a business succession occurs pursuant to Article 44.1 of the Workers' Statute, the transferee company maintains the status of the same payer. This means that there is no existence of more than one payer for the purpose of determining the threshold for the obligation to file a tax return for income from employment. Joint and several liability for tax obligations extends to the successor in the ownership of the business.

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