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V3995-15 15 December 2015 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · subrogación empresarial

No more than one payer is considered to exist in cases of business subrogation

A query was raised regarding whether a worker subrogated by a new company has one or two payers for the purpose of determining their Personal Income Tax (IRPF) filing obligations. The Directorate General for Taxes (DGT) responds that, in the event of business subrogation, the new employer maintains the status of the same employer.

The question raised

For the purpose of determining the obligation to file for the 2015 period, an inquiry is made regarding the existence of one or two payers as a consequence of business subrogation.

The DGT's ruling

In cases of business subrogation, the assignee maintains the status of the same employer for the determination of the applicable withholding tax rate. Therefore, there is no existence of more than one payer for the purposes of the obligation to file a tax return. The threshold for not filing shall be 22,000 euros per annum for employment income, provided that such income is not subject to a fixed withholding rate.

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