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V3285-15 26 October 2015 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Professionals' profits may be income from work or economic activities

A professional partner and manager of a professional services company asks how their remuneration is taxed in IRPF and whether it is subject to VAT. The DGT clarifies that the nature of income for IRPF depends on whether the partner is registered as a self-employed and on the company's activity, while VAT depends on whether the relationship is independent or subordinate.

The question raised

Consultation regarding the taxation under Personal Income Tax (IRPF) of the remuneration corresponding to the services provided by the applicant to the company, taking into account the new wording given to Article 27 of the Personal Income Tax Law by Law 26/2014.

The DGT's ruling

In Personal Income Tax (IRPF), remuneration for the position of administrator is always considered income from employment. For professional services provided to the company, if the partner is registered under the special Social Security regime for self-employed workers, it shall be considered income from economic activities; otherwise, it shall be considered income from employment. Regarding VAT, liability depends on whether a relationship of dependency or independence exists, analyzing whether the partner organizes their own means, assumes economic risk, or is subject to the company's organizational criteria. Registration in the Census shall be mandatory if the partner holds the status of entrepreneur or professional for VAT purposes.

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