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V2491-24 9 December 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimiento neto del trabajo

Social Security special agreement contributions are deductible for Income Tax purposes

A taxpayer inquired whether a single payment made under a special agreement to count periods of vocational training is deductible. The Directorate General for Taxes (DGT) ruled that it is a deductible expense against employment income.

The question raised

Whether said payment is considered a tax-deductible expense in the taxpayer's Personal Income Tax (IRPF) return.

The DGT's ruling

Social Security contributions are deductible expenses from gross employment income, regardless of whether they are paid monthly or in a single lump sum. These expenses must be attributed to the tax period in which they become due, which in this case corresponds to the year in which the agreement is signed if the single lump sum option is chosen. Therefore, the entire amount paid shall be attributed to the fiscal year in which said payment is made.

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