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V1164-24 23 May 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · estimación directa

Deductibility of social security contributions for a spouse working in the taxpayer's business

The taxpayer asks whether they can deduct the Social Security contributions paid for their spouse, who assists in their economic activity. The Directorate General for Taxes (DGT) rules that, provided the requirements of regular work and market-rate remuneration are met, the taxpayer may deduct these contributions as a business expense.

The question raised

Whether the Social Security contributions of the taxpayer's spouse, which are paid by the taxpayer, are deductible for the taxpayer's Personal Income Tax (IRPF).

The DGT's ruling

If the spouse habitually works in the holder's activity under an employment contract and receives market-rate remuneration, the holder may deduct the RETA contributions paid by the spouse as an activity expense. In this case, the spouse shall receive remuneration in kind for said contributions and may deduct them as an expense for income from employment. This interpretation applies even if Social Security includes the family member in the Special Regime instead of the General Regime, provided that labor dependency is proven.

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