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V1575-14 13 June 2014 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · pagador

The €22,000 limit may apply if employment income is derived from a single payer

A taxpayer inquired whether two distinct administrative units within the Ministry of Defence constitute two separate payers. The Directorate-General for Taxes (DGT) ruled that, as both are part of the General State Administration, they are considered a single payer.

The question raised

For the purposes of determining the obligation to file a tax return, an inquiry is made regarding the possibility of considering the existence of a single payer of employment income.

The DGT's ruling

The existence of more than one payer is determined by the separate legal personality of the entities. In the case of Public Administrations, a distinction must be made between the General State Administration, the Autonomous Communities, the Local Administrations, and entities with separate legal personality. If the income originates from the same legal personality, such as the Ministry of Defense, the limit of 22,000 euros per year applies for non-declaration, provided there is no income subject to a fixed withholding tax rate.

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