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V2478-19 17 September 2019 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · retención a cuenta

General IRPF withholding procedure must be applied with a 2% minimum for contracts under one year

A worker inquired about the applicable IRPF withholding rate following the extension of a temporary contract. The DGT clarified that the general calculation procedure must be applied, maintaining the 2% minimum rate if the duration remains under one year.

The question raised

Applicable withholding rate for the 2019 tax period

The DGT's ruling

The withholding rate is determined through the general procedure set forth in Articles 80 et seq. of the Personal Income Tax (IRPF) Regulations. In contracts or relationships with a duration of less than one year, the resulting rate may not be lower than 2 per 100. The extension or renewal of the contract requires the regularization of the withholding rate. If the new duration is also less than one year, the minimum rate of 2 per 100 shall be maintained.

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