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V1982-24 17 September 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rentas en especie

Availability of vehicles for private use constitutes benefits in kind, regardless of actual use

A query was raised regarding whether the provision of vehicles to employees generates benefits in kind and how to value long-term renting contracts. The DGT ruled that income arises from the availability of the vehicle for private purposes and that, in renting arrangements, the valuation basis is the market value of the new vehicle at the time of contracting.

The question raised

In relation to the mixed use (professional and private) of vehicles provided by the company to its employees, the question is raised regarding the availability criterion and the valuation in renting contracts exceeding one year.

The DGT's ruling

Payment in kind exists when the worker has the power to dispose of the vehicle for private use, without effective use being necessary. It is not acceptable to quantify the income based on mileage or actual hours of use, but rather on availability. For vehicles under a renting arrangement, the payment in kind is 20% per annum of the market value of the vehicle if it were new, applying said market value corresponding to the year the contract was entered into.

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