Example 2. De facto couple with common children residing in the Community of Galicia

Mr. AST and donates MVV, live together without marriage and have three children in common who live with them and whose ages are 18, 12 and 6 years, respectively. The youngest son has obtained 4,050 euros in capital gains from a securities portfolio donated by his maternal grandfather at birth. The remaining children have not obtained income in the year.

Determine the amount of the personal and family minimum for both taxpayers in the case of individual taxation and joint taxation for the purposes of calculating the state tax and the regional tax.

Solution:

Previous note: Given that the Autonomous Community of Galicia has not exercised regulatory powers in the regulation of the amounts of the personal and family minimum, the amount of this determined in accordance with the provisions of the Law of PIT must be used for calculating both the state tax and the regional tax.

1. Individual taxation of the father and mother:

   1. Taxpayer minimum: 5.550

   2. Minimum per descendants:

      • Son 1. (18 years old) (50% s/2,400): 1,200
      • Son 2. (12 years old) (50% s/2,700): 1,350
      • Son 3. (6 years) (1): 0

      Minimum total for descendants: 2.550

   Total personal and family minimum (5,550 + 2,550): 8.100

2. Joint taxation of the father or mother with minor children: ⁽¹⁾

   1. Taxpayer minimum: 5.550

   2. Minimum per descendants:

      • Son 1. (18 years old) (50% s/2,400): 1,200
      • Son 2. (12 years) (50% s/2,700).:1,350
      • Son 3. (6 years) (100% s/4,000): 4.000

      Minimum Total by descendants: 6.550

   Total personal and family minimum (5,550 + 6,550): 12.100

3. Individual taxation of the other parent: ⁽²⁾

   1. Taxpayer minimum: 5.550

   2. Minimum per descendants:

      • Son 1. (18 years old) (50% s/2,400): 1,200
      • Son 2. (12 years old) (50% s/2,700): 1,350
      • Son 3. (6 years):  0

      Minimum total for descendants: 2.550

   Total personal and family minimum (5,550 + 2,550): 8.100

Notes to the example:

⁽¹⁾ The minor child is required to file a tax return. PIT due to the income obtained during the fiscal year (income from non-exempt capital subject to withholding tax in excess of 1,600 euros per year).

When choosing to pay taxes individually, the father and mother, the minor child must also file his or her own individual tax return. PIT In addition, when filing an individual declaration of the PIT with incomes exceeding 1,800 euros, neither of their parents will be entitled to apply the minimum for descendants in their respective tax returns.

It should be noted that in the individual declaration of the youngest child (child 3), the amount of 5,550 euros must appear as the taxpayer's minimum. ^(Back)

⁽²⁾ Since there is no marital bond between the parents, the family unit can be formed, at their choice, by the father or the mother with the two minor children (children 2. and 3.), without it being possible, for tax purposes, for both parents with the aforementioned children to form a single family unit.

The minimum taxpayer tax applicable to joint taxation by a father or mother with minor children is the general amount of 5,550 euros per year. Likewise, since the father and mother live with the children who are part of the family unit, the reduction of the taxable base of 2,150 euros per year referred to in article 84 of the Law of the PIT See, in this regard, Chapter 13 above, which discusses the reductions in the general tax base and of savings. For its part, in the case of joint taxation of the father or mother with the minor children (children 2. and 3.), the Minimum for descendants must be distributed equally among the parents with whom the descendants who do not have incomes exceeding 1,800 euros live, even if one of them pays joint taxes with the children. For this reason, the Minimum for descendants corresponding to the youngest child (child 3), with income greater than 1,800 euros, corresponds entirely to the father or mother with whom they are taxed jointly. Consequently, the other parent will not be entitled to apply the Minimum for descendants for said child.

The Minimum for descendants corresponding to the adult child (child 1), who due to this circumstance is not part of the family unit, also corresponds to both parents in equal shares.

The other parent in his/her individual declaration is only entitled to apply half of the minimum for descendants corresponding to the 1st child. and 2, since none of them have income greater than 1,800 euros. ^(Back)