Doctrine by topic · DGT Observatory

Objective Estimation: DGT doctrinal evolution

How the DGT's position on this topic has evolved, and the rulings it rests on.

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How the DGT's position has evolved

Stable position High confidence 20 rulings · 2025–2025

Current position

The objective estimation method allows for a 30% reduction on net returns for generation periods exceeding two years, provided they do not derive from an activity carried out regularly or habitually, with a limit of 300,000 euros per year. To access the 20% reduction on positive net returns, it is mandatory to have determined the return through direct estimation during the period when the activity commenced. The volume of income for the method's limits does not include the compensation from the special VAT regime for agriculture, livestock, and fishing.

The DGT maintains specific criteria regarding the application of reductions and the determination of income, without showing changes in doctrine between rulings. A technical application of current rules on incompatibilities, income limits, and the independence of taxation in property partnerships (comunidades de bienes) is observed. There is no doctrinal evolution, but rather an application of different rules within the objective estimation regulations.

Turning points

  1. V0452-25

    Establishes that for the 20% reduction, it is a requirement that the return be determined through direct estimation during the period when the activity commenced.

  2. V0679-25

    Specifies that the volume of income for the method does not include the compensation from the special VAT regime for agriculture, livestock, and fishing.

Analysis based on 20 of 20 rulings with a stated position. Updated 28 July 2026.

Rulings on this topic

24
V5375-26 28 Jul 2026

Objective estimation in own activities and attribution rent entities

SG de Impuestos sobre la Renta de las Personas Físicas
estimación objetivaentidad en régimen de atribución de rentasrendimiento netomagnitudes excluyentesactividades económicas RIRPF — RD 439/2007, Reglamento del IRPF art. 35RIRPF — RD 439/2007, Reglamento del IRPF art. 39.3
Affects CompanyExpat · Non-residentIndividual
V1093-26 18 May 2026

Taxi licence sale does not allow disability reduction if activity continues

SG de Impuestos sobre la Renta de las Personas Físicas
ganancia patrimonialactivos fijos intangiblesestimación objetivaincapacidad permanentecese de actividad LIRPF — Ley 35/2006 del IRPF art. 32.1LIRPF — Ley 35/2006 del IRPF art. 37.1.n
Affects CompanyExpat · Non-residentIndividual
V1021-26 6 May 2026

Reduction of capital gain from taxi licence sale upon retirement possible

SG de Impuestos sobre la Renta de las Personas Físicas
ganancia patrimonialactivos fijos intangiblesestimación objetivareducción de ganancia patrimoniallicencia de taxi LIRPF — Ley 35/2006 del IRPF art. 37.1.nLIRPF — Ley 35/2006 del IRPF art. disposición adicional séptima
Affects CompanyExpat · Non-residentIndividual
V0982-26 5 May 2026

Sale of a taxi licence gives capital gain or loss subject to IRPF

SG de Impuestos sobre la Renta de las Personas Físicas
ganancia patrimonialvalor contableestimación objetivaactivos fijos intangiblesreducción de ganancia patrimonial LIRPF — Ley 35/2006 del IRPF art. 37.1.nLIRPF — Ley 35/2006 del IRPF art. 49
Affects CompanyExpat · Non-residentIndividual
V0646-26 20 Mar 2026

Compatible to be self-employed and maintain objective estimation in IRPF

SG de Impuestos sobre la Renta de las Personas Físicas
estimación objetivatrabajador por cuenta ajenaactividad económicarendimiento netosimulación LIRPF — Ley 35/2006 del IRPF art. 31.1LGT — Ley 58/2003 General Tributaria art. 15
Affects CompanyExpat · Non-residentIndividual
V0464-26 27 Feb 2026

Objectivity method limits remain at 250,000 and 125,000 euros for 2025

SG de Impuestos sobre la Renta de las Personas Físicas
estimación objetivarendimientos íntegrosvolumen de comprasseguridad jurídicamagnitudes excluyentes LIRPF — Ley 35/2006 del IRPF art. 31.1.3ª. b)LIRPF — Ley 35/2006 del IRPF art. 31.1.3ª. c)
Affects CompanyExpat · Non-residentIndividual
V0431-26 27 Feb 2026

Land purchases not deductible, but personnel costs can be

SG de Impuestos sobre la Renta de las Personas Físicas
atribución de rentaselementos patrimoniales afectosestimación directaestimación objetivarendimientos de actividades económicas LIRPF — Ley 35/2006 del IRPF art. 8.3LIRPF — Ley 35/2006 del IRPF art. 27
Affects CompanyExpat · Non-residentIndividual
V2124-25 11 Nov 2025

Reduction cannot apply if activity continues after permanent disability

SG de Impuestos sobre la Renta de las Personas Físicas
ganancia patrimonialactivos fijos intangiblesestimación objetivaincapacidad permanentetransmisión de activos LIRPF — Ley 35/2006 del IRPF art. 37.1.nLIRPF — Ley 35/2006 del IRPF art. disposición adicional séptima
Affects CompanyExpat · Non-residentIndividual
V1847-25 14 Oct 2025

Self-employed can retain objective estimation in a rental property community

SG de Impuestos sobre la Renta de las Personas Físicas
estimación objetivaestimación directacomunidad de bienesrendimiento de actividad económicarendimiento del capital inmobiliario RIRPF — RD 439/2007, Reglamento del IRPF art. 35RIRPF — RD 439/2007, Reglamento del IRPF art. 39.3
Affects CompanyExpat · Non-residentIndividual

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