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V1337-22 13 June 2022 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Mutual agreement severance premium taxed as employment income without 30% reduction

A worker inquired whether a premium for joining a voluntary redundancy scheme qualifies for the irregularity reduction. The DGT ruled that, as the termination is by mutual agreement, it must be taxed as employment income and the 30% reduction does not apply if it is not attributed to a single tax period.

The question raised

Tax treatment of the joining premium established in the voluntary severance program. Application of the 30% reduction for irregularity.

The DGT's ruling

The joining premium is of the nature of employment income. As it is a resolution by mutual agreement and not a collective dismissal, the exemption under Article 7 e) of the LIRPF does not apply. The 30% reduction for notoriously irregular income is only applicable if the amounts are imputed to a single tax period.

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