Skip to content
Back to index
V1440-24 14 June 2024 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · entidad sin ánimo de lucro

Gift cards for volunteer collaborators may be deductible expenses for Corporation Tax

A non-profit entity has requested clarification on whether providing gift cards to collaborators for conducting seminars constitutes a donation and how it should be treated for tax purposes. The DGT has determined that these may be deductible expenses if they represent consideration for the service provided, and it analyses the implications for Corporation Tax, Personal Income Tax, and VAT.

The question raised

Question posed: Whether the provision of gift cards by the entity to the collaborators would be considered a donation.

The DGT's ruling

For Corporate Income Tax, the provision of gift cards may be a deductible expense if it meets the requirements of accounting registration, accrual, substantiation, and corresponds to consideration for the service. For Personal Income Tax, such income is considered income in kind from employment (or from economic activity if the collaborator organizes the means). For VAT, gift vouchers are not bonds but means of payment, therefore their provision is not subject to the tax.

Email
Contact