Doctrine by topic · DGT Observatory

Normal Market Value: 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

Settled doctrine High confidence 41 rulings · 2017–2025

Current position

Remuneration for director functions constitutes income from employment pursuant to article 17.2.e) of the LIRPF (Personal Income Tax Law), unless the position is unpaid. Services provided by partners other than the administration are considered income from employment under article 17.1 of the LIRPF, as they do not meet the requirements for economic activities under article 27.1. The valuation of these services must be carried out at their normal market value.

The DGT's position remains constant throughout the chronological sequence. No changes are observed in the classification of services as income from employment, nor in the obligation to apply the normal market value for their valuation.

Analysis based on 36 of 41 rulings with a stated position. Updated 13 August 2026.

Rulings on this topic

24
V0240-26 5 Feb 2026

Pay for children's schools and universities deemed as species income

SG de Impuestos sobre la Renta de las Personas Físicas
rendimientos en especieretribución flexiblevalor normal de mercadocoste para el pagadoringreso a cuenta LIRPF — Ley 35/2006 del IRPF art. 17.1LIRPF — Ley 35/2006 del IRPF art. 42.1
Affects CompanyExpat · Non-residentIndividual
V1951-25 15 Oct 2025

Return of contributions via immovable may be treated as capital movable income

SG de Impuestos sobre la Renta de las Personas Físicas
reducción de capitaldevolución de aportacionesrendimiento del capital mobiliariovalor normal de mercadobeneficios no distribuidos LIRPF — Ley 35/2006 del IRPF art. 33.3.aLIRPF — Ley 35/2006 del IRPF art. 25.1.a
Affects CompanyExpat · Non-residentIndividual
V0938-25 27 May 2025

Return of capital via property may be treated as capital gains

SG de Impuestos sobre la Renta de las Personas Físicas
reducción de capitaldevolución de aportacionesrendimiento del capital mobiliariovalor normal de mercadobeneficios no distribuidos LIRPF — Ley 35/2006 del IRPF art. 33.3.aLIRPF — Ley 35/2006 del IRPF art. 25.1.a
Affects CompanyExpat · Non-residentIndividual
V0539-25 28 Mar 2025

Partner remuneration for work in a society considered income from labour

SG de Impuestos sobre la Renta de las Personas Físicas
rendimientos del trabajorendimientos de actividades económicasvalor normal de mercadooperaciones vinculadassocio LIRPF — Ley 35/2006 del IRPF art. 17.1LIRPF — Ley 35/2006 del IRPF art. 27.1
Affects CompanyExpat · Non-residentIndividual
V2801-23 16 Oct 2023

Professional partner remuneration may be considered economic activity income

SG de Impuestos sobre la Renta de las Personas Físicas
rendimientos de actividades económicassocio profesionalsección segunda del iaerégimen especial de autónomosservicios profesionales LIRPF — Ley 35/2006 del IRPF art. 17.1LIRPF — Ley 35/2006 del IRPF art. 27.1
Affects CompanyExpat · Non-residentIndividual
V2587-23 27 Sept 2023

Professionals' remuneration may be income from work or economic activities

SG de Impuestos sobre la Renta de las Personas Físicas
rendimientos del trabajorendimientos de actividades económicasadministrador únicosocio profesionalvalor normal de mercado LIRPF — Ley 35/2006 del IRPF art. 17.1LIRPF — Ley 35/2006 del IRPF art. 17.2
Affects CompanyExpat · Non-residentIndividual
V2404-23 7 Sept 2023

Delivery of urban land via capital reduction subject to 21% VAT

SG de Impuestos sobre el Consumo
entrega de bienesreducción de capitalsujeto pasivoterreno urbanizadoexención LIVA — Ley 37/1992 del IVA art. 4LIVA — Ley 37/1992 del IVA art. 5
Affects CompanyExpat · Non-residentIndividual
V2121-23 19 Jul 2023

Professionals' remuneration may be economic activity income if conditions are met

SG de Impuestos sobre la Renta de las Personas Físicas
rendimientos de actividades económicasrendimientos del trabajosocio profesionalsección segunda del iaevalor normal de mercado LIRPF — Ley 35/2006 del IRPF art. 17.1LIRPF — Ley 35/2006 del IRPF art. 27.1
Affects CompanyExpat · Non-residentIndividual
V2096-23 18 Jul 2023

Manager remuneration and services considered as earnings from work

SG de Impuestos sobre la Renta de las Personas Físicas
rendimientos del trabajoadministradoractividades económicasvalor normal de mercadosocio único LIRPF — Ley 35/2006 del IRPF art. 17.1LIRPF — Ley 35/2006 del IRPF art. 17.2.e)
Affects CompanyExpat · Non-residentIndividual
V1906-23 3 Jul 2023

Reduced 4% VAT rate applicable to housing deliveries to rental entities

SG de Impuestos sobre el Consumo
tipo impositivo reducidorégimen especial de arrendamientodevengopagos anticipadosvalor normal de mercado LIVA — Ley 37/1992 del IVA art. 4.unoLIVA — Ley 37/1992 del IVA art. 5.uno
Affects CompanyExpat · Non-residentIndividual

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