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V2333-16 26 May 2016 · SG de Fiscalidad Internacional Criterion in force
IRPF · pensión pública

German public pensions of a Spanish national residing in Spain are taxable only in Spain

A Spanish citizen residing in Spain has enquired whether they must pay tax in Spain on a public pension received from Germany. The DGT has determined that, as the individual is both a Spanish national and a resident in Spain, said pension may only be subject to taxation in Spain.

The question raised

Taxation of the pension originating from Germany.

The DGT's ruling

According to the Convention between Spain and Germany, pensions paid by a German State or local entity may only be taxed in Germany, unless the beneficiary is a national and resident of the other Contracting State. As the inquirer is a Spanish national and resident in Spain, the pension may only be taxed in Spain. Therefore, it must be included in the worldwide income for Personal Income Tax purposes.

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