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V1529-18 5 June 2018 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Meal allowances for business travel may be exempt from Income Tax if specific requirements are met

The tax treatment of meal allowances received due to business travel is examined. The Directorate General for Taxes (DGT) explains that these amounts may be exempt from taxation provided they comply with the limits and requirements set out in the Income Tax Regulations.

The question raised

Question posed: The tax treatment that must be applied, for the purposes of Personal Income Tax, to the aforementioned amounts.

The DGT's ruling

Allowances for subsistence and accommodation in municipalities other than the habitual place of work and residence are exempt if they do not exceed the limits of 53.34 euros (with overnight stay) or 26.67 euros (without overnight stay) per day in Spanish territory. The payer must certify the day, location, and reason for the travel. Any excess over these limits shall be taxed as employment income.

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