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V1489-22 21 June 2022 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · reducción del 30 por 100

The 30% reduction for a generation period exceeding two years is not applicable to early retirement bonuses

A query was raised regarding whether the early retirement bonus provided for in a collective agreement is eligible for the 30% reduction under Article 18.2 of the Personal Income Tax Law (LIRPF). The Directorate General for Taxes (DGT) ruled that it is not applicable, as the requirement that the income must have a generation period exceeding two years is not met.

The question raised

Application of the 30 percent reduction under Article 18.2 of Law 35/2006.

The DGT's ruling

To apply the 30% reduction, the income must have a generation period exceeding two years, which requires that the income be linked to a period of seniority in the company of at least that period and that the agreement establishing it also exceeds two years. In this case, the gratification arises from the exercise of the early retirement option and does not require prior seniority in the provision of services. Therefore, there is no prior generation of income that allows for the application of the reduction.

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