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V1601-23 6 June 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · pensión compensatoria

Compensatory pensions must be declared as income from employment

A query was raised regarding whether a compensatory pension arising from a settlement agreement should be taxed as income from employment or as income from real estate capital. The DGT has determined that, as it is a compensatory pension, it must be declared as income from employment.

The question raised

How should these earnings be declared by the recipient (the consultant), whether as income from employment, given that section 6 of the convention specifies it is a compensatory pension, or whether they should be declared as income from real estate capital, given the nature of said pension which arises from real property.

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