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V2735-20 7 September 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · propiedad intelectual

Income from assignment of script rights classified as professional activity income

A screenwriter requested clarification on the applicable Personal Income Tax (IRPF) withholding rate for scriptwriting and the assignment of exploitation rights. The Directorate General for Taxes (DGT) ruled that, as this constitutes a professional activity, the withholding rate corresponding to such activity must be applied.

The question raised

Type of applicable withholding tax.

The DGT's ruling

Income from the assignment of intellectual property rights for screenplays is classified as income from professional activity when obtained within the scope of the screenwriter's economic activity. Therefore, the 15% withholding rate provided for professional activities shall apply, or 7% if it constitutes a commencement of activity under legal requirements. The inclusion of an image rights assignment clause does not change this classification if said assignment is non-remunerated.

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