Skip to content
Back to index
V5393-16 21 December 2016 · SG de Fiscalidad Internacional Criterion in force
IRNR · cánones

Retention of payments to translators in Argentina depends on whether they are fees or professional services

A Spanish company asks whether it must withhold payments made to residents in Argentina for translation services. The DGT explains that retention will depend on whether the payments are classified as fees or professional services under the Double Taxation Convention.

The question raised

Question raised: Obligation to withhold on payments made by the Spanish company to Argentine collaborators

The DGT's ruling

If the payments are royalties for the assignment of copyrights, the withholding tax in Spain may not exceed 5 percent. If they are considered independent professional services, the withholding tax is limited to 10 percent, unless the professional maintains a fixed base in Spain. In both cases, the paying company is obliged to perform the withholding and payment on account.

Apply this to a real case

What is published here, applied to a company or a specific case. The first meeting is free.

Email
Contact