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V1394-14 23 May 2014 · SG de Tributación de las Operaciones Financieras Criterion in force
IRPF · base imponible

Annual tax base reduction of up to €10,000 for pension plan contributions for persons with disabilities

A taxpayer has requested clarification regarding the reduction in their tax base for contributions made to a pension plan for their child with a disability. The Directorate General of Taxes (DGT) clarifies the reduction limits, the exemption from Personal Income Tax (IRPF) for the beneficiary's contributions, and the treatment of personal allowances for descendants.

The question raised

Application of the reduction in the taxpayer's taxable base for contributions to the pension plan. Whether said contributions are subject to the Personal Income Tax of the child. Whether the amounts contributed to the pension plan must be considered for the purpose of applying the minimum allowance for descendants and for disability. In the event of the death of the taxpayer's child, the persons who would be entitled to receive benefits from the plan.

The DGT's ruling

Persons with kinship or guardianship may reduce their taxable base by up to 10,000 euros annually for contributions to pension plans for persons with disabilities, respecting a joint limit of 24,250 euros including the contributions of the beneficiary themselves. These contributions are not considered income subject to Personal Income Tax (IRPF) for the beneficiary, and therefore do not affect the 1,800 euro limit for applying the minimum allowances for descendants or disability. The benefits received shall be taxed in full within the beneficiary's Personal Income Tax.

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