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V2705-21 8 November 2021 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · retención

Retention of IRPF on professional service invoices depending on payer type

A veterinarian asks whether retention is required on her invoices and which type to apply. The tax authority responds that retention is due when the payer is a legal entity or a self-employed person carrying out economic activity.

The question raised

Question raised: Obligation to practice withholding on account of Personal Income Tax (IRPF) on the invoices issued and the applicable withholding rate.

The DGT's ruling

An obligation to withhold exists when the payers are legal entities or taxpayers carrying out economic activities. The applicable withholding rate is 15 percent on the gross income. A rate of 7 percent shall apply only if it concerns the commencement of professional activity under the requirements of the Regulation.

Apply this to a real case

What is published here, applied to a company or a specific case. The first meeting is free.

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