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V1175-25 1 July 2025 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · imputación temporal

When to report salary difference compensation depends on judicial or agreement basis

A worker asks when to declare salary difference compensation for 2023 and 2024 agreed in 2025. The DGT states that the imputation date depends on whether the right to the amount stems from a judicial ruling or from the enforceability of the agreed arrangement.

The question raised

Issue raised: Temporal imputation in Personal Income Tax (IRPF) and applicable withholding tax.

The DGT's ruling

If the right to income depended on a judicial ruling, it is imputed to the period in which said ruling becomes final. If not, it is imputed when it becomes due, which could correspond to the years of the salary differences or to the year of the agreement and receipt (2025). The 30% reduction does not apply as the generation period does not exceed two years. The withholding tax will depend on the applied temporal imputation.

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