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V3996-15 15 December 2015 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · subrogación empresarial

Business transfers do not imply multiple payers for income tax filing obligations

A query was raised regarding whether a worker undergoing a business transfer has one or two payers, which would determine their obligation to file an income tax return. The Directorate General for Taxes (DGT) ruled that, in such cases, 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 transferee 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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