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V1330-24 7 June 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Extraordinary vocational training award taxed as employment income and ineligible for reduction

A student inquired whether a €1,000 award for their vocational training academic record was exempt from tax. The DGT has ruled that it is neither a scholarship nor an artistic prize, but rather employment income.

The question raised

Treatment of the prize in Personal Income Tax.

The DGT's ruling

The prize does not qualify as an exempt scholarship nor as a relevant literary, artistic, or scientific prize. As it is awarded based on academic records upon completion of studies, it is classified as income from employment pursuant to Article 17.1 of the Personal Income Tax Law (LIRPF). The 30% reduction for irregularity in time is not applicable, as it is not included in the list provided in Article 12.1 of the Regulation of the Personal Income Tax Law (RIRPF) nor is it generated over a period exceeding two years.

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