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V2162-18 18 July 2018 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · imputación temporal

Unpaid wages pending judicial resolution and compensatory interest are taxable when the judgment becomes final or payment is agreed

A worker inquires about when to declare unpaid wages resulting from a labour dispute, the nature of late payment interest, and the deductibility of legal fees. The DGT rules that wages are imputed when the resolution becomes final and compensatory interest is taxed as capital gains.

The question raised

Taxation of the amount pending claim and of the late payment interest that may be established in the judicial proceedings. Deductibility of legal fees.

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