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V2365-17 18 September 2017 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · guarda y custodia compartida

In joint custody, the personal allowance for descendants is split equally between parents

A query was raised regarding whether payments for common expenses of children in joint custody can be treated as child maintenance. The Directorate-General for Taxes (DGT) ruled that, as parents are entitled to the personal allowance for descendants, the tax treatment for maintenance annuities does not apply.

The question raised

Clarification on the treatment of common expenses and, in accordance with the 2017 ruling of the TSJM, their tax treatment as alimony.

The DGT's ruling

In cases of joint custody, the right to opt for joint taxation may be exercised by either parent. The personal allowance for descendants shall be prorated in equal parts between both parents, provided that the children do not have income exceeding 8,000 euros and do not file a tax return with income exceeding 1,800 euros. Since they are entitled to the allowance for descendants, the special treatment of alimony annuities under Articles 64 and 75 of the LIRPF is not applicable.

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