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V1617-14 23 June 2014 · SG de Fiscalidad Internacional Criterion in force
IRPF · residencia fiscal

Pensions from Colombian private employment taxed only in Spain if beneficiary is Spanish tax resident

Spanish residents with dual nationality inquire whether they must pay tax on Colombian state pensions from prior private employment. The DGT states that, as Spanish tax residents, these pensions are subject to Spanish taxation only under the double taxation treaty.

The question raised

Taxation in Spain of pensions received from Colombia.

The DGT's ruling

As the applicants are tax residents in Spain, they are taxed on their worldwide income. Pursuant to Article 17 of the Convention between Spain and Colombia, pensions paid to a resident of a State by reason of past employment may be taxed only in that State. Since the pensions originate from private employment in Colombia, the taxing power rests exclusively with Spain.

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