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V1962-21 22 June 2021 · SG de Tributación de las Operaciones Financieras Criterion in force
IRPF · base imponible

Pension scheme contributions that could have been deducted in the current year cannot be carried forward

The taxpayer asks whether they can deduct half of an €8,000 pension scheme contribution in 2020 and carry the remainder forward to subsequent years. The Directorate General for Taxes (DGT) rules that only amounts that could not be deducted due to insufficient taxable income or exceeding the percentage limit may be carried forward.

The question raised

Possibility of deducting half of the contribution made from the taxable base of the tax corresponding to the 2020 fiscal year and carrying forward the remainder to subsequent years.

The DGT's ruling

Contributions that fall within the limits of Articles 50.1 and 52.1 of the Personal Income Tax Law must be deducted from the taxable base of the year in which the contribution is made and not in subsequent years. The carryforward to the following five years is only possible for amounts that could not be subject to deduction due to insufficient taxable base or due to the application of the established percentage limit.

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