Index 1. Exclusive use of other people's means of production in agricultural activities
Regulations: Instruction 2.3.a) of Annex I Order HFP /1335/2021, of December 1
The 0.75 index will be applied when in the development of agricultural activities exclusively external means of production are used, without considering, for these purposes, soil.
Both labor and capital are understood as foreign means of production, with the exception of land and elements permanently attached to it such as wells, trees and buildings that are part of the exploitation. Therefore, for this corrective index to be applicable, the owner must not work personally in the activity (except in its management, organization and planning tasks) but must entirely employ outside labor; Furthermore, all elements of the exploitation other than land in the terms mentioned above must be provided by third parties.
By exception, this index will not be applied in cases of sharecropping and similar figures.