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V2932-14 30 October 2014 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Reduction for extension of working life may apply if remaining an active worker after age 65

A taxpayer has enquired whether they can apply the reduction for the extension of their working life when combining their pension with employment. The Directorate General for Taxes (DGT) has ruled that this is possible, provided the individual remains an active worker after reaching the age of 65.

The question raised

Application of the reduction for the extension of working life in Personal Income Tax (IRPF).

The DGT's ruling

The increase in the reduction for obtaining income from employment applies to active workers who continue or extend their employment relationship after reaching the age of 65. To this end, there must be the effective provision of remunerated services under employment within the scope of organization and direction of another person. These requirements must occur simultaneously at some point during the tax period.

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