Doctrine by topic · DGT Observatory

Interest: 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 24 rulings · 2014–2024

Current position

The obligation to withhold arises at the time the income becomes due or at the time of its payment if the latter occurs earlier. Interest is considered due on the agreed maturity dates or when it is recognized in the account. In the context of the deduction for investment in the primary residence, both the interest paid and the interest included in the tax return as payment in kind under the transitional regime of the LIRPF (Personal Income Tax Law) may be included.

The DGT's position remains constant regarding the moment interest becomes due for the imputation of income and the obligation to withhold. No doctrinal changes are observed in the definition of this income throughout the sequence. The only relevant novelty is the clarification regarding the inclusion of interest in kind for the primary residence deduction.

Turning points

  1. V2224-24

    Allows the inclusion in the base of the deduction for investment in the primary residence of both the interest paid and that which is declared as payment in kind.

Analysis based on 21 of 24 rulings with a stated position. Updated 24 September 2026.

Rulings on this topic

24
V1281-19 5 Jun 2019

Interest on a loan granted to a German company is taxable only in Spain

SG de Fiscalidad Internacional
interesesbeneficiario efectivoestablecimiento permanenteresidencia fiscalconvenio de doble imposición Convenio entre España y Alemania para evitar la doble imposiciónLGT — Ley 58/2003 General Tributaria art. 89
Affects CompanyExpat · Non-residentIndividual
V0068-18 17 Jan 2018

Interest on a joint account is taxed in the residence country

SG de Fiscalidad Internacional
titularidad de los bienesinteresescuenta mancomunadaconvenio de doble imposiciónresidencia fiscal LIP — Ley 19/1991 del Impuesto sobre el Patrimonio art. 7Convenio entre España y el Reino Unido
Affects CompanyExpat · Non-residentIndividual
V2651-17 18 Oct 2017

Repayment of wages is not a capital loss, but paid interest is

SG de Impuestos sobre la Renta de las Personas Físicas
rendimientos del trabajopérdida patrimonialreintegrointereseslaudo arbitral LIRPF — Ley 35/2006 del IRPF art. 14LIRPF — Ley 35/2006 del IRPF art. 33.1
Affects CompanyExpat · Non-residentIndividual
V1801-17 10 Jul 2017

Interest from private loans must be taxed as income from movable capital

SG de Impuestos sobre la Renta de las Personas Físicas
rendimientos del capital mobiliariocesión de capitales propiosinteresesperíodo impositivoexigibilidad LIRPF — Ley 35/2006 del IRPF art. 25.2LIRPF — Ley 35/2006 del IRPF art. 14.1.a
Affects CompanyExpat · Non-residentIndividual
V0417-16 3 Feb 2016

International double taxation deduction with Brazil capped at 20%

SG de Impuestos sobre las Personas Jurídicas
doble imposición internacionaldeducción por doble imposiciónconvenio de doble imposiciónrentas obtenidas en el extranjerocuota íntegra LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 29.1LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 31
Affects CompanyExpat · Non-residentIndividual
V3902-15 4 Dec 2015

Loan interest cannot be deducted from the transfer value of shares

SG de Impuestos sobre la Renta de las Personas Físicas
ganancia patrimonialvalor de transmisiónvalor de adquisicióninteresestransmisión de acciones LIRPF — Ley 35/2006 del IRPF art. 33.1LIRPF — Ley 35/2006 del IRPF art. 34
Affects CompanyExpat · Non-residentIndividual

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