Skip to content
Back to index
V1429-23 25 May 2023 · SG de Tributación de las Operaciones Financieras Criterion in force
IRPF · rendimientos del trabajo

Mutual insurance benefits taxed as employment income to the extent they exceed non-reduced contributions

A lawyer requested clarification on the taxation of retirement benefits from the Lawyers' Mutual Insurance Scheme. The DGT ruled that these benefits are taxed as employment income to the extent that they exceed contributions that were not deductible or subject to reduction.

The question raised

1. Taxation of the benefit derived from contributions to the Mutual Fund.

The DGT's ruling

Benefits from social welfare mutual funds are included in the general tax base as income from employment to the extent that they exceed the contributions that could not be subject to reduction or deduction. If the contributions were made before 1999 and cannot be proven, 75% of the benefit shall be included. The 2,000 euro reduction for economic activities is not applicable because the benefit is not income from said activity.

Book your free first meeting