Other forms of payment and/or extinction of tax debts

Extinction by annotation in the current account system in tax matters

The tax debt resulting from the declaration of the PIT may be extinguished by compensation through an entry in the current account system for tax purposes.

To this end, taxpayers of the PIT that are covered by the current account system for tax matters regulated in articles 138 to 143 of the General Regulations on actions and procedures for tax management and inspection and for the development of the common rules for the procedures for the application of taxes, approved by Royal Decree 1065/2007, of July 27, shall submit their declaration in accordance with the rules set forth in the sixth section of the Order of September 30, 1999, which approves the application form for inclusion in the current account system for tax matters, establishes the place of submission of tax returns that generate debts or credits that must be recorded in said tax current account and develops the provisions of Royal Decree 1108/1999, of June 25, which regulates the current account system for tax matters. 

Extinction by compensation with recognized tax credits

Tax debts resulting from the declarations of the PIT They may also be extinguished by compensation with tax credits recognized by administrative act in favor of the same taxpayer, in the terms provided in articles 71 and following of theLGT and in accordance with the conditions and procedure established in articles 55 and following of the General Collection Regulations.

In relation to the LGT see Law 58/2003, of December 17, General Tax.