Work income by nature

Regulations: Art. 17.1 Law Personal Income Tax

In particular, the full income from work includes:

1. Salaries and wages.

2. Unemployment benefits.

   Said benefits received for unemployment in the single payment modality are declared exempt in article 7 of the Personal Income Tax Law .

3. Remunerations for representation expenses.

4. Per diems and allowances for travel expenses, except those for transportation and those considered normal for maintenance and stay in hospitality establishments with the legally established limits discussed below.

   See in this regard the allowances and allowances for transportation expenses and normal expenses for maintenance and stay of taxes referred to in article 9 of the Personal Income Tax Regulations .

5. The contributions or contributions paid by the promoters of pension plans provided for in the consolidated text of the Law regulating pension plans and funds, approved by Royal Legislative Decree 1/2002, of November 29 ( BOE of December 13), or by the promoter companies provided for in Directive (EU) 2016/2341 of the European Parliament and of the Council of December 14, 2016, relating to the activities and supervision of funds of employment pensions.

   Precision: although article 17.1.e) of the Personal Income Tax Law refers to Directive 2003/41/EC of the European Parliament and of the Council, of June 3, 2003, it has been repealed with effect from January 13, 2019, by Directive (EU) 2016/2341, which also establishes that references to Directive 2003/41/EC will be understood to be made to it.

6. Contributions or contributions paid by employers to meet pension commitments in the terms provided for in the first Additional Provision of the consolidated text of the Law regulating pension plans and funds, approved by Royal Legislative Decree 1/2002 , previously mentioned, and in its implementing regulations, when those are attributed to the people to whom the benefits are linked.

   This tax charge will be voluntary in nature in collective insurance contracts other than corporate social security plans, and the decision adopted with respect to the rest of the premiums that are paid must be maintained until the termination of the contract. insurance contract.

   However, the tax imputation becomes mandatory in the following cases:

   • In risk insurance contracts (such as, for example, insurance that covers the contingency of death or disability).

   • When the insurance contracts cover jointly the contingencies of retirement and death or disability, in the part of the premiums paid that corresponds to the capital at risk for death or disability, provided that the amount of said part exceeds 50 euros per year.

     For these purposes, the difference between the insured capital for death or disability and the mathematical provision is considered capital at risk.

   • In insurance contracts in which the tax imputation of premiums is voluntary, the imputation will be mandatory for the amount that exceeds 100,000 euros per year per taxpayer and with respect to the same employer, except in collective insurance contracted as a result of collective dismissals carried out in accordance with the provisions of article 51 of the Workers' Statute.

     Now, in group insurance contracted before December 1, 2012, in which premiums of an expressly determined amount appear, and the annual amount of these exceeds this limit of 100,000 euros, a transitional regime is established that determines that in these cases The imputation for this excess will not be mandatory (See the twenty-sixth transitional provision of the Personal Income Tax Law ).