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A query is made regarding when the deadline to apply the 40% reduction under the transitional regime in pension plans expires following a collective redundancy. The DGT responds that, if retirement benefits are collected early, the contingency occurs when the requirements for said collection are met.
Question posed: Available period to apply the 40 percent reduction provided for in the transitional regime.
If retirement benefits are received early, the contingency occurs at the moment the requirements for early collection are met, such as the termination of the employment relationship due to collective redundancy. In this case, the contingency is understood to have occurred in the fiscal year in which said requirements are met. The deadline to apply the 40% reduction on contributions made prior to 2007 expires according to the terms of the twelfth transitional provision of the LIRPF.
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