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V1073-16 16 March 2016 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Taxi services for commuting between home and work constitute benefits in kind

An employee inquired whether the use of a company-provided taxi for commuting to the workplace outside of ordinary working hours constitutes a benefit in kind. The Directorate-General for Traffic (DGT) ruled that it does, as such travel is considered part of the employee's private sphere.

The question raised

Whether such use (for work performed outside of ordinary working hours) of taxi services for travel between the residence and the workplace constitutes remuneration in kind.

The DGT's ruling

The free use of taxi services for travel between the residence and the workplace constitutes income in kind. This is because such travel falls within the private sphere of the employee. The same criterion applies to cash allowances for travel expenses, although in that case they are considered monetary income.

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