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Form 100. Personal Income Tax Declaration 2018

7.2.1. Full returns

All compensation or profits, whatever their name or nature, whether monetary or in kind, that derive, directly or indirectly, from personal work or from the employment or statutory relationship and do not have the character of income from work, will be considered full income from work. economic activities.

Work income is attributed exclusively to the people who have generated the right to receive it; except for the benefits of the social security systems referred to in article 17.2.a) of the Personal Income Tax Law, which will be attributed to the people in whose favor they are recognized.

In particular, the following will be included as work income:

  • Salaries and wages.

  • Unemployment benefits.

  • Remunerations for representation expenses.

  • Per diems and allowances for travel expenses, except for transportation and normal maintenance and stay in hospitality establishments with the limits established by regulation.

  • The contributions or contributions paid by the promoters of pension plans.

  • The amounts paid by employers to meet pension commitments, when they are attributed to those people to whom the benefits are linked.

  • The following benefits of the social security systems indicated:

    1. Social Security and Passive Classes

      Pensions and passive assets received from public Social Security schemes and passive classes and other public benefits for situations of disability, retirement, accident, illness, widowhood, or similar.

    2. Civil servants' mutual funds

      The benefits received by the beneficiaries of mandatory general mutual societies for civil servants, orphan schools and other similar entities.

    3. Pension Plans

      The benefits received by the beneficiaries of pension plans, and those received from the plans regulated in Directive 2003/41/EC of the European Parliament and of the Council, of June 3, 2003, relating to the activities and supervision of pension funds employment pensions.

    4. Social Security Mutual Funds.

      The benefits received by the beneficiaries of insurance contracts concluded with social security mutual societies whose contributions may have been, at least in part, a deductible expense for determining the net income of economic activities or object reduction in the taxable base of the Tax.

    5. Corporate Social Security Plans and collective worker insurance

      The benefits received by the beneficiaries of company pension plans and the retirement and disability benefits received by the beneficiaries of collective insurance contracts that implement the pension commitments assumed by companies, to the extent that their amount exceeds the contributions tax-imputed and the contributions directly made by the worker.

    6. Insured Pension Plans

      The benefits received by the beneficiaries of the Insured Pension Plans.

    7. Dependency insurance

      The benefits received by the beneficiaries of dependency insurance in accordance with the provisions of the Law for the promotion of personal autonomy and care for people in a situation of dependency.

  • The amounts paid, by reason of their position, to the Spanish Deputies in the European Parliament, to the Deputies and Senators of the Cortes Generales, to the members of the autonomous Legislative Assemblies, City Councilors and members of the Provincial Councils, Island Councils or other local entities, excluding, in any case, the part of the same that said institutions assign for travel and displacement expenses.

  • Income derived from giving courses, conferences, colloquiums, seminars and similar, provided that they do not involve the management of means of production and human resources or one of both on their own, with the purpose of intervening in the production or distribution of goods. or services, in which case they will be classified as income from economic activities.

  • Income derived from the production of literary, artistic or scientific works, provided that the right to their exploitation is transferred and does not involve the self-management of means of production and human resources or one of both, with the purpose of intervening in the production or distribution of goods or services, in which case they will be classified as income from economic activities.

  • The remuneration of the administrators and members of the Boards of Directors, of the Boards that act in their place and other members of other representative bodies.

  • Compensatory pensions received from the spouse and annuities for alimony, except those received from parents by virtue of a court decision, which are exempt.

  • Special economic rights reserved by the founders or promoters of a company as remuneration for personal services. These rights, when they consist of a percentage of the entity's profits, will be valued at a minimum of 35 percent of the equivalent value of share capital that allows the same participation in the profits as that recognized for the aforementioned rights.

  • Scholarships, when they are not exempt.

  • The remuneration received by those who collaborate in humanitarian or social assistance activities promoted by non-profit entities.

  • Remuneration derived from special employment relationships.

    However, when the income derived from the special employment relationship of artists in public performances and the special employment relationship of people who participate in commercial operations on behalf of one or more businessmen without assuming the risk and fortune of the former, suppose the self-management of means of production and human resources or one of both, with the purpose of intervening in the production or distribution of goods or services, will be classified as income from economic activities.

  • Contributions made to the assets of people with disabilities, regulated in Law 41/2003, of November 18, on the property protection of people with disabilities.

    For the taxpayer, a person with a disability, these contributions will be considered work income not subject to withholding or deposit on account, with the following limits:

    • When the contributors are taxpayers of the Personal Income Tax, they will be considered income from work up to the amount of 10,000 euros per year for each contributor and 24,250 euros annually together.

      Likewise, and regardless of the limits indicated in the previous paragraph, when the contributors are taxpayers of the Corporate Tax, they will be considered income from work as long as they have been a deductible expense in the Corporate Tax with the limit of 10,000 euros per year.

      These returns and the benefits received in the form of income by people with disabilities from social security systems (art. 53 Law), will be exempt up to a maximum annual amount of three times the public multiple-effect income indicator, (the The annual amount of the IPREM for the year 2018 is 7,519.59 euros).

    • When contributions are made by taxpayers of Corporate Tax in favor of the protected assets of relatives, spouses or dependents of the contributor's employees, they will only be considered work performance for the owner of the protected assets.

    The part of the contributions that are considered work income for the recipient will not be subject to Inheritance and Donation Tax.

PENSION PLANS BENEFITS

The benefits received by the beneficiaries of a Pension Plan will be taxed in their entirety as income from work, and in no case may they be reduced by the amounts corresponding to the excesses of contributions and contributions.

SOCIAL PROTECTION MUTUALITY BENEFITS

The benefits received by the beneficiaries of insurance contracts concluded with Social Security Mutual Insurance Companies whose contributions may have been, at least in part, a deductible expense from the performance of economic activities, or subject to a reduction in the income, will be taxed in their entirety as income from work. tax base.

In the case of retirement and disability benefits, they will be integrated into the tax base in the amount of the amount received that exceeds the contributions that could not be reduced or reduced in the tax base of the Tax, for failing to comply with the subjective requirements provided. in paragraph a) of section 2 of art. 51 or in the ninth DA of the Law.

  • CONTRIBUTIONS MADE PRIOR TO 1-1-99 (DT 2 Law)

    Retirement and disability benefits derived from insurance contracts concluded with Social Security Mutual Funds, whose contributions, made prior to January 1, 1999, have been subject to a reduction at least in part in the tax base, must be integrated into the base. taxable of the Tax on income from work.

    The integration will be made to the extent that the amount received exceeds the contributions made to the mutual society that have not been subject to reduction or reduction in the tax base of the Tax in accordance with the legislation in force at any time and, therefore, have previously paid taxes.

    If the amount of the contributions that could not be reduced or reduced in the tax base cannot be proven, 75% of the retirement or disability benefits received will be included.

CORPORATE SOCIAL PROTECTION PLANS

The benefits received by the beneficiaries of a corporate Social Security Plan regulated in AD 1 of the Consolidated Text of the Law regulating Pension Plans and Funds will be taxed in their entirety as income from work.

  1. 7.2.1.1. Special labor relations
  2. 7.2.1.2. Per diems and travel expenses