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V3151-23 4 December 2023 · SG de Tributación de las Operaciones Financieras Criterion in force
IRPF · contingencia de jubilación

Deadline for applying the 40% reduction on pension plans for early retirement

The inquirer asks about the deadline for applying the 40% reduction to a pension plan following a collective redundancy. The DGT rules that, if early retirement is claimed, the contingency occurs when the requirements for such payment are met.

The question raised

Available period to apply the 40 percent reduction provided for in the transitional regime.

The DGT's ruling

Pension plan benefits are considered earned income. If retirement is claimed early due to collective redundancy, the contingency occurs when the requirements for such early claim are met. To apply the 40 percent reduction on contributions made prior to 2007, the benefit must be received during the fiscal year of the contingency or in the two following years. If the contingency occurred in 2022, the period to apply the reduction ends on December 31, 2024.

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