Skip to content
Back to index
V1731-14 3 July 2014 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · subrogación empresarial

Business transfers do not result in multiple payers for tax filing threshold purposes

A query was raised regarding whether a worker who received income from two different companies due to a business transfer is considered to have more than one payer for the purposes of the tax filing obligation threshold. The Directorate General for Taxes (DGT) ruled that, in such cases, the new employer maintains the status of the same employer.

The question raised

For the purpose of determining the obligation to file a tax return for the 2013 period, an inquiry is made regarding the existence of one or two payers as a consequence of business subrogation.

The DGT's ruling

In cases of business subrogation, the transferee maintains the status of the same employer for the purpose of determining the applicable withholding rate. Therefore, there is no existence of more than one payer for the purposes of the obligation to file a tax return. The threshold for not being required to file a tax return shall be 22,000 euros per year, provided that the income is not subject to a fixed rate.

Book your free first meeting