Instructions

Personal Income Tax

Objectively estimated economic activities

Payment by instalments - Self-assessment

Form 131

Instructions for filling in your self-assessment form

Important:All monetary amounts required must be expressed in euros, including the decimal part, which shall consist of two digits in any case.Generally, the amounts entered will not be preceded by any sign;however, they may be preceded by a minus sign (“-”) in boxes which establish this possibility.

All mentions in these instructions to the Tax Law and Regulations shall be understood, respectively, as being made to Law 35/2006, of 28 November, on Personal Income Tax and on the partial amendment of the Laws on Corporation Tax, Non-Resident Income Tax and Wealth Tax (Official State Gazette of 29 December) and the Regulations on Personal Income Tax, approved by Royal Decree 439/2007, of 30 March (Official State Gazette of 31 March).

From 2015 onwards, and as a result of the approval of Order HAP/2194/2013, dated 22 November, by which the procedures and general conditions for filing specific self-assessed tax returns and tax related information returns are regulated (as amended by Order HAP/1846/2014, of 8 October), the option of filing form 131, which must be submitted for the following cases, on pre-printed paper is no longer available:

1. Online filing:

   • Whether using a recognised digital certificate identification and authentication system issued pursuant to Law 59/2003, on Electronic Signatures, admissible by the Tax Agency in accordance with prevailing regulations, or
   • using a signature system with password to log on to a register as a user (Cl@vePIN).

2. On printed paper generated exclusively by using the print service developed to this end by the Tax Agency at its electronic office (when the taxpayer is not required to file the self-assessment electronically).

(1) Filer

Enter the ID number, name and surnames of the taxpayer.

(2) Accrual

Tax year:Enter the four digits of the calendar year in which the quarter to which the self-assessment applies falls.

Period: It shall be stated here whether the self-assessment corresponds to the first, second, third or fourth quarter of the calendar year.

(3) Assessment

I. Economic activities in the flat-rate system, other than agriculture, livestock farming, forestry and fishing.

This section will be filled in by individuals who perform economic activities, other than agriculture, livestock farming and forestry, whose income is determined using the objective estimation method.The data relating to agriculture, livestock farming and forestry activities in objective estimation will not be included in this section, but in section II.

Activity (IAE heading). The heading of the Economic Activities Tax (IAE) corresponding to each of the economic activities carried out for which net income is determined in the form of objective estimation and which are considered independent activities for the purposes of applying the aforementioned method shall be included.

Net income from the activity for the purposes of payment by instalments.In these boxes, the net income for the purposes of payment by instalments shall be entered corresponding to each of the economic activities performed to which this section of the form refers.

Generally, the net income corresponding to each activity shall be calculated based on the positive or negative numbers or modules established to this end, taking into account the "annual income per unit prior to amortisation" assigned to these positive or negative numbers or modules, as well as reductions for employment incentives and investment and the applicable corrective rates, as appropriate.Reductions on the net yield established by general provisions for activities in objective estimation shall also apply for the purposes of payments in instalments.

For the purposes of the payments in instalments, the number of units of each of the positive or negative numbers or modules, as well as the reductions and corrective rates initially applicable in each annual period, will be the number of units corresponding to the basic data of the activity referring to 1 January each year or the day on which the activity began, in the event that this was not performed the previous year.

If the base data for each positive or negative number or module is not a whole number, two decimal places shall be used.

When any basic data cannot be determined on the first day of the year, for the purposes of payment in instalments, the data corresponding to the previous year shall be used.This rule shall be applied to seasonal activities.

When as part of any activity, none of the base data can be determined for the purpose of the staged payments, section II below shall be filled in.

Employment incentives , in addition to corrective activity indexes are reflected in the return form based on the additional information requested when entering the IAE corresponding to the activity.

The data corresponding to the investment incentive, i.e. the annual depreciation corresponding to the elements affected by the activity, must included in the preliminary calculation (not carried out by the program), and the resulting annual data must be reflected in the corresponding box.

Box 01.Enter the sum of net income in this box for the purposes of staged payment, corresponding to all activities filed under this section.

Box 02.Staged Payment for the quarter.The total sum resulting from the application of the following staged payment percentages to each of the activities filed under this paragraph, is transferred to this box:

Applicable percentageFor each of the activities filed under this section, the percentage to be applied to determine the amount of the staged payment will depend on the number of salaried staff on the date on which the base data is calculated.These percentages are:

However, the taxpayer may apply percentages higher than those indicated (lower percentages are not allowed), pursuant to Article 110.4 of the Tax Regulation.This option, as well as the upper percentage to be applied, will be reflected in the corresponding section of the additional data entry screen that is requested when entering the IAE item corresponding to the activity.

For activities that began after 1 January or that end before 31 December or when both of these circumstances occur, as well as in the case of seasonal activities, net income for the purposes of payment in instalments and the amount to be deposited each quarter for this item will be determined pursuant to the specific instructions provided for these cases in the Ministerial Orders implementing the method of objective estimation of Personal Income Tax for each year.

II. Economic activities in objective assessment other than agriculture, livestock and forestry, without the possibility of determining any of the basic data for the purposes of the fractioned payment.

This section will be filled in by taxpayers performing economic activities in the objective estimation system, other than those relating to agricultural, livestock and forestry activities for which it is not possible to determine any of the base data for the purposes of payment in instalments and, therefore, the corresponding amount cannot be calculated pursuant to the procedure referred to in Section I above.

Box 03.In this box, enter the volume of sales or income for activities referred to in this sectoin corresponding to the quarter for which the payment by instalments is being made, including current subsidies and excluding capital subsidies and allowances.

Box 04.In box 04, enter the result of calculating the percentage of 2% of the amount shown in box 03 above.

However, the taxpayer may apply percentages higher than the one indicated, pursuant to Article 110.4 of the Tax Regulation.

III. Agricultural, livestock and forestry activities, in objective estimation.

This section will be filled in by taxpayers who perform agriculture, livestock farming and forestry activities, whose net income is determined using the objective estimation method.

However, the owners of the agricultural and livestock activities are not required to file returns for payments or make any payments for this item if, in the previous calendar year, at least 70% of the income proceeding from these activities (excluding current subsidies or capital or compensation) were subject to withholding or on-account payment.When starting an activity, the percentage of income subject to withholding or on-account payment during the quarter to which the payment in instalments refers will be taken into account for these purposes.

Likewise, taxpayers responsible for forestry activities are not required to file returns for payments or make any payments for this item if, in the previous calendar year, at least 70% of the income proceeding from these activities (excluding current subsidies or capital or compensation) were subject to withholding or on-account payment.When starting an activity, the percentage of income subject to withholding or on-account payment during the quarter to which the payment in instalments refers will be taken into account for these purposes.

Box 05.In this box, enter the volume of income in the quarter for which the payment by instalments is being made, including current subsidies and excluding capital subsidies and allowances.

Box 06.In box 06, enter the result of calculating the percentage of 2% of the amount shown in box 05 above.However, young farmers or salaried agricultural workers who fulfil the requirements established in additional provision six of the Tax Law may reduce this amount by 25 percent.

In any case, the taxpayer may apply percentages higher than the one indicated, pursuant to Article 110.4 of the Tax Regulation.

ECONOMIC ACTIVITIES WITH THE RIGHT TO DEDUCTION FOR INCOME OBTAINED IN CEUTA OR MELILLA.In the case of activities with the right to the deduction for income obtained in Ceuta or Melilla referred to in Article 68.4 of the Tax Law, the percentage applicable to determine the amount of the instalment payment shall be obtained by multiplying by 0.4 the percentages mentioned in section I, as well as, where applicable, the percentages referred to in boxes 04 of section II and 06 of section III (previously, until the instalment payment corresponding to the 2nd quarter of 2018, the percentages indicated were multiplied by 0.5;all this, as a result of the increase in the reduction - from 50 to 60% - against the percentage established on a general basis, introduced in Article 101.11 of Law 35/2006, on Personal Income Tax and Law 6/2018, of 3 July, on the General State Budgets for 2018 ). In the event that the taxpayer also carries out other economic activities that are not entitled to this deduction, the percentage applicable to the latter shall be that indicated in general.

IV.Total settlement.

Box 07.This box features the sum of the amounts entered in boxes 02, 04 and 06.

Box 08.Where applicable, in this box enter the sum of the tax withheld and account deposits that, once compensation deriving from the economic activities in objective estimation for which income is subject to withholding or on-account payment is applied, correspond to the quarter in which the payment in instalments refers.

Box 09.When the amount of NET income ⁽*⁾ obtained from the taxpayer's economic activities, obtained during the financial year prior to the quarter to which the self-assessment corresponds, has been equal to or less than 12,000 euros, the following amount shall be entered in this box, depending on the value of this income:

⁽*⁾ Net earnings from activity prior to the application, where applicable, of the reduction for irregular earnings and other applicable reductions, where appropriate, on the reduced net yield of the activity (sum of the boxes corresponding to the net earnings:(a) economic activities subject to direct assessment, (b) economic activities (except for livestock and forestry) under objective assessment, (c) agricultural, livestock and forestry activities under objective assessment and (d) net income from economic activity attributed by entities under the income allocation system) from the personal income tax return for the previous year (boxes 0144, 0173, 0201 and/or 0224 respectively of the 2018 personal income tax form;boxes 0131, 0158, 0187 and/or 0211 respectively of the Income Tax-2017 return form, boxes 121, 148, 177 and/or 201 respectively of the Income Tax-2016 return form;boxes 118, 143, 172 and/or 195 respectively of the 2015 personal income tax form).

In the event that during the previous tax year, no economic activities of any kind have been performed, it will be considered that the amount of net income for the previous financial year is equal to zero.

In the event that the taxpayer is also required to file form 130, the amount corresponding to the reduction in payments by instalments referred to in Article 110.3.(c) of the Income Tax Regulation, calculated as per the provisions of this box can be distributed, if such a decision is taken, between forms 130 and 131, provided that the amounts entered in boxes 13 of form 130 and 09 of form 131 do not exceed, for each quarter, the value of the reduction.

Box 10.The result of the operation indicated in the form (box 07 - box 08 - box 09) will be entered in this box.If the result is a negative amount, mark it with a minus sign (–).

Box 11.If a positive amount had been obtained in box 10 above, the value (without mathematical signs) of the negative results, as applicable, obtained in box 15 for any of the previous self-assessment, form 131, shall be recorded in box 11. for the same financial year and that have not been deducted previously, bearing in mind that under no circumstances may an amount greater than the positive amount entered in box 11 be included in box 10.

Box 12.If a positive amount had been obtained in box 10 and the taxpayer is making payments for loans allocated for the acquisition or rehabilitation of his/his principal residence, based on which he/she is entitled to the deduction for investment in principle residence regulated in transitional provision eighteen of the Tax Law, the amount of the deduction referred to in Article 110.3(d) of the Tax Regulation shall be recorded, where appropriate, in Box 12;in other words:

Important: pursuant to the provisions of the transitional provision eighteen of the Personal Income Tax Law, from 1 January 2013, for the right to the deduction for investment in the taxpayer's main residence and, therefore, to the application of this deduction in form 131, to be valid, compliance with the following and other requirements is necessary:

1. In terms of the acquisition of the main residence, that the property was acquired before 1 January 2013.

2. For the renovation of the main residence, that the taxpayer paid the corresponding sums before 1 January 2013.

If only section "I" and/or "II" of this form has been filled in, this deduction consists of the sum of the amounts resulting from applying the percentage of 0.5% to the amount entered in box 01 and the percentage of 2% to the amount entered in box 03.

If only section “III” has been filled in, the deduction consists of the amount resulting from calculating a percentage of 2% of the amount entered in box 05.

In any case, it should also be borne in mind that the amount entered in box 12 may not exceed the positive difference between boxes 10 and 11 above, and that the deduction for this concept has a maximum limit of 660.14 euros per year, so that under no circumstances may the amount entered in box 12 exceed this amount, without the sum of the amounts entered in boxes 12 of the four forms 131 of the same tax year exceeding the aforementioned amount (660.14 euros per year).

Note: this deduction will not apply if the payments made are for the construction or extension of the principal residence, nor, in accordance with the provisions of Art. 110.3.d), last paragraph of the Income Tax Regulation, in the following cases:

• When the taxpayer simultaneously carries out agricultural, livestock or forestry activities and other activities.

• When the taxpayer is also required to file form 130 to declare the payment corresponding to the economic activities as part of the direct estimation that they carry out, as is the case under the circumstances referred to in paragraph two of Article 35 of the Tax Regulation, as well as in other cases.

• When, as well as performing economic activities, the taxpayer receives work income and has submitted form 145 to their employer, informing them that they are making payments on loans used to purchase or renovate their main residence.

• For activities other than those relating to agricultural, livestock and forestry activities, when the sum of net earnings for the purposes of payment in instalments entered in box 01 and the forecast volume of annual earnings or sales corresponding to activities included in Section II of this form, is equal to or greater than the amount of 33,007.20 euros.To this end, the forecast volume of annual earnings or sales shall be considered as those resulting from expanding the sales or earnings volume in the first quarter to the entire year, excluding capital subsidies and compensation.

• For agricultural, livestock or forestry activities, when the forecast volume of income per year from them is equal to or greater than the sum of 33.007,20 euros.To this end, the volume of earnings obtained in the first quarter of the year shall be considered the volume of income for the first quarter, expanded to the entire year, excluding capital subsidies and compensation.

Box 13.In this box, enter the result of subtracting the amounts entered, where applicable, in boxes 11 and 12 from the amount in box 10.If, because box 10 contains a negative amount, a negative amount is obtained in box 13, mark with a minus sign (-). In this case, boxes 10 and 13 shall contain the same amount with a minus sign.

Box 14.For complementary self-assessments, the amount of self-assessments to be paid, form 131, filed previously for the same tax year and period, shall be entered in this box.If none of the above self-assessments resulted in the amount to be entered (for example, “negative” or “to be deducted” in subsequent quarters), zero (0) shall be entered in box 14.

Box 15. In this box, enter the result of subtracting the amount shown in box 14, if any, from the amount shown in box 13.If, because box 13 contains a negative amount, a negative amount is obtained in box 15, mark with a minus sign (-). In this case, boxes 13 and 15 shall include the same negative amount and the negative value from the self-assessment form may be deducted from the following payments by instalments from the same year, when positive amounts are filed, up to the maximum limit of said amount.

(4) To pay

If the amount entered in box 15 is positive, this amount shall be transferred to the code "I" in the "Income" section and the box corresponding to the form of payment shall also be entered:If the payment is made by bank account or direct debit, provide all the details of the account (IBAN code).The deposit amount shall coincide with the amount in box 15.

The procedure for proceeding with the payment of the amount resulting from the self-assessment will be as established in Order HAP/2194/2013, of 22 November (Articles 4 and 6 to 9), regulating the procedures and general conditions for the filing of certain self-assessments and informative tax returns (Official State Gazette of 26 December).

(5) To be deducted

If the amount entered in box 15 is negative (marked with a minus sign) and the self-assessment corresponds to the 1st, 2nd or 3rd quarter, mark the space reserved for this purpose in the section "To be deducted". In this case, the negative amount in box 15 may be deducted in any of the subsequent payments in instalments for the same year, when a positive amount so allows, and form 131 must be filed at any Delegation or Administration of the Tax Agency. It may also be sent by registered post to the Delegation or Administration of the Tax Agency corresponding to the tax address of the taxpayer.

In addition, under the section 'Type of tax return', mark the “To be deducted” box.

However, if the amount entered in box 15 is negative (marked with a minus sign) and the self-assessment corresponds to the 4th quarter, this section should not be completed, rather the section "Negative” should be filled in.

(6) Negative

If the amount entered in box 15 is zero, or when negative (marked with a minus sign) and the self-assessment corresponds to the 4th quarter, mark in the space reserved for this purpose in the section "Negative".

In this case, if the return is filed in printed forms generated exclusively using the print service developed by the Tax Agency, it must be carried out, pursuant to the provisions of Article 4.5 of the Order HAP/2194/2013, of 22 November, regulating the procedures and general conditions for the filing of certain self-assessments and informative tax returns, directly or must be sent by email, to the Office or Local Office of the Tax Agency corresponding to the tax address of the taxable person.

When filing electronically online, the procedure will follow the provisions set out in Article 11 of the aforementioned Order HAP/2194/2013, of 22 November.

(7) Supplementary

Mark this box if the self-assessment supplements another self-assessment or multiple self-assessments filed previously for the same income and corresponding to the same year and period.Under these circumstances, the 13-digit identification number of the previous self-assessment must also be inserted.If more than one self-assessment has been filed previously, the identification of the most recent return shall be inserted.

Important:A supplementary self-assessment may only be filed in order to correct errors or omissions contained in previous self-assessments that have generated an unduly low amount to be paid.Therefore, the supplementary self-assessment must contain an amount payable that is higher than the amount in the previous self-assessment.