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V3649-16 5 September 2016 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

Taxation of services rendered by a partner to their company depends on their role and independence

A partner and administrator asks how services rendered to their company are taxed under IRPF, VAT and IAE. The DGT clarifies that remuneration for the role of administrator is considered income from work, and the classification of professional services depends on affiliation to Social Security and economic and organisational independence from the company.

The question raised

Consultation regarding the taxation applicable to the partner for services rendered to the company in terms of Personal Income Tax (IRPF), VAT, and the Tax on Economic Activities, and which heading of the rates for said Tax would correspond to the services rendered by the partner to the company.

The DGT's ruling

In Personal Income Tax (IRPF), administrator functions are considered income from employment, whereas professional services only constitute an economic activity if the partner is registered under the self-employed regime and the company is a professional services firm. Regarding VAT, liability depends on whether the partner acts with independence or subordination, analyzing their working conditions, remuneration, and responsibility. In the Tax on Economic Activities (IAE), the organization of production means or human resources on one's own account is required for liability to exist.

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