Example: Annuities for alimony for children

Don LDZ, resident in the Valencian Community, has obtained a general taxable base of 63,000 euros in fiscal year 2023. During said year, he has paid annuities for maintenance to his children in the amount of 12,000 euros, as provided for in the judicially approved divorce agreement.

Likewise, the taxable base of said taxpayer's savings amounts to 5,000 euros.

Determine the full contributions corresponding to 2023 knowing that the amount of your personal and family minimum amounts to 5,550 euros.

Solution:

Since you have paid annuities to your children during the year by judicial decision and the amount is lower than the amount of your general taxable base, the general state scale for 2023 and the regional scale of Personal Income Tax must be applied separately to the amount of the annuities and to the amount of the rest of the general liquidable base.

Previous note: with effects for the tax periods ending on January 1, 2023, Final Provision 1.1 of Law 9/2022, of December 30, on the budgets of the Generalitat for the financial year 2023 ( DOGV 12-31-2022), modified article 2 of Law 13/1997 that regulates the regional scale applicable to the general taxable base.

1. Application of the Personal Income Tax scales to the amount of annuities, base "A" (12,000 euros)

1. General scale of Personal Income Tax

   12,000 at 9.50% = 1,140

   Odds 1 = 1,140

2. Autonomous scale approved for 2023 by the Valencian Community

   12,000 at 9% = 1,080

   Installment 2 = 1,080

2. Application of the tax scales to the rest of the general taxable base, base "B" (51,000 euros)

1. General scale of Personal Income Tax

   Up to 35,200 = 4,362.75

   Other: 15,800 at 18.50% = 2,923

   Installment 3 = 7,285.75

2. Autonomous scale approved for 2023 by the Valencian Community

   Up to 42,000 = 5,530

   Other: 9,000 at 20.00% = 1,800

   Installment 4 = 7,330

3. Determination of the fees resulting from the application of the scales in both bases

Installment 5 = installment 1 + installment 3: (1,140 + 7,285.75) = 8,425.75

Installment 6 = installment 2 + installment 4: (1,080 + 7,330) = 8,410

4. Application of the tax scales to the general taxable base corresponding to the personal and family minimum increased by 1,980 euros

1. General scale

   Given that the amount of the general taxable base (63,000) is higher than the personal and family minimum increased by 1,980 euros (5,550 + 1,980 = 7,530), this is entirely part of the general taxable base.

   7,530 at 9.50% = 715.35

   Installment 7 = 715.35

2. Autonomous scale approved for 2023 by the Valencian Community

   In this case, the autonomous amount of the taxpayer's minimum (set at 6,105 euros) increased by 1,980 euros (6,105 + 1,980) determines an amount of 8,085, lower than the general taxable base (63,000), so this amount forms part of its integrity of the general liquidable base.

   8,085 at 9% = 727.65

   Odds 8 = 727.65

5. Determination of quota differences

General state quota (Quota 5 − Quota 7): 8,425.75 − 715.35 = 7,710.40

Regional general quota (Quota 6 − Quota 8): 8,410 − 727.65 =7,682.35

6. Lien on the liquidable base of savings (5,000)

State tax (5,000 x 9.50%) = 475

Regional tax (5,000 x 9.50%) = 475

7. Determination of full fees:

Full state fee (7,710.40 + 475) = 8,185.40

Full regional quota (7,682.35 + 475) = 8,157.35