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V1160-16 22 March 2016 · SG de Fiscalidad Internacional Criterion in force
IRPF · residencia habitual

Spouses of civil servants posted abroad remain Spanish income tax residents

A woman who moved her residence to Saudi Arabia due to her husband's posting as a civil servant at the Spanish Embassy has enquired whether she must pay tax in Spain. The Directorate General for Taxes (DGT) has ruled that both spouses maintain their status as Spanish income tax residents and that their worldwide income must be taxed in Spain.

The question raised

Question raised The consultant poses the following:

The DGT's ruling

Spouses of members of diplomatic missions who transfer their residence abroad due to the official's assignment maintain their status as Personal Income Tax (IRPF) taxpayers in Spain pursuant to Article 10.1 of the Personal Income Tax Law (LIRPF). As taxpayers, they must be taxed on their worldwide income in Spain. Regarding the salary received for services at the Embassy, the Spanish-Saudi Convention grants Spain exclusive authority to tax such income.

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