Introduction
Despite the legal definition of the income from economic activities contained in article 27.1 of the Law on the PIT, it is necessary to differentiate within them those derived from the exercise of business and professional activities and, within the first (business activities), those of a commercial and non-commercial nature.
The importance of these distinctions lies in the different tax treatment of each type of income, in aspects as significant as the subjection to withholding or payment on account, the accounting and registration obligations of the holders of said activities and the separate declaration of the same. From this latter perspective, the declaration model distinguishes the following types and keys of economic activities:
| Password | Type of activity |
|---|---|
| 1 | Business activities of a commercial nature |
| 2 | Agricultural and livestock activities |
| 3 | Other non-commercial business activities |
| 4 | Professional activities of an artistic or sporting nature |
| 5 | Other professional activities |