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V1321-15 29 April 2015 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos de actividades económicas

Services rendered by a partner to a professional society may be considered economic activity income

The DGT confirms that remuneration paid to a partner for services rendered to their professional society may be classified as income from economic activity, provided the society's and partner's activities fall within Section Two of the Income Tax Act and the partner is registered as a self-employed individual or under a mutual arrangement.

The question raised

An inquiry is made regarding the taxation regime under Personal Income Tax for the remuneration corresponding to services rendered by a partner to the company in the course of the company's own business activity, taking into account the new wording given to Article 27 of the Personal Income Tax Law by Law 26/2014.

The DGT's ruling

For the services provided by a partner to their company to be classified as income from economic activity, the activity must be included in the Second Section of the IAE (Economic Activities Tax) Schedules, for both the partner and the company. Furthermore, the partner must be registered in the special Social Security regime for self-employed workers or in an alternative mutual insurance scheme. If these requirements are not met, the remuneration shall be characterized as personal labor income.

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