Investment income

The attributable net income will be determined by the difference between the total income and the deductible expenses referred to in article 26.1 of the Personal Income Tax Law

In no case may the attribution regime entity apply the 30 percent reduction contemplated in article 26.2 of the Personal Income Tax Law for the net returns provided for in section 4 of article 25 of the aforementioned Law that have a generation period of more than two years or are regulated by regulations as obtained in a notoriously irregular manner over time when, in both cases, they are imputed in a single tax period and the amount of the net income to which it is applied The reduction does not exceed 300,000 euros per year.

It will be the members of the entity under the income attribution regime who are taxpayers for Personal Income Tax who will be able to apply this reduction in their declaration.

Depending on the nature of the return on the attributed movable capital, the taxpayer must include it in their declaration in the following way:

1. In the general tax base the expected returns in section 4 of article 25 of the Personal Income Tax Law under the name "other income from movable capital, as well as those derived from the transfer to third parties of own capital referred to in section 2 of the aforementioned article 25 that comes from entities linked to the same.

2. In the tax base of savings the income provided for in sections 1, 2, and 3 of article 25 of the Personal Income Tax Law (income obtained by participation in the own funds of any type of entity; returns obtained from the transfer of own capital to third parties; income from capitalization operations and life or disability insurance contracts and income derived from the taxation of capital). The comment on these returns to be integrated into the tax base of the savings is contained in Chapter 5.