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V1813-24 19 July 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Back pay must be attributed to the tax year in which the court ruling becomes final

A worker inquired whether back pay following a dismissal declared null and void should be taxed in 2023 or 2024. The DGT ruled that it must be attributed to the period in which the judicial resolution becomes final.

The question raised

Temporal attribution of back pay: whether it should be attributed to 2023 or 2024.

The DGT's ruling

Income from employment is attributed to the tax period in which it becomes due. When the receipt depends on a pending judicial resolution, the amounts shall be attributed to the period in which the judgment becomes final. In this case, as the judgment became final in 2023, the salaries must be attributed to said fiscal year.

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