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V2503-24 9 December 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rentas en especie

Benefit-in-kind for company cars depends on availability for private use, not actual usage

An employee inquired whether it is correct for their company to impute all time outside of working hours as benefit-in-kind income. The DGT ruled that such remuneration arises from the availability of the vehicle for private purposes, regardless of whether it is actually used.

The question raised

Taxation in the Personal Income Tax (IRPF) regarding private use.

The DGT's ruling

Remuneration in kind for the use of a vehicle occurs when the employee has the power to dispose of it for private purposes, without effective use being necessary. It is not acceptable to quantify this income based on mileage or actual hours of use. The availability criterion may vary depending on the specific circumstances of the activity and the job position, therefore no general valuation criterion applicable to all cases exists.

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