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Form 100. Personal Income Tax Declaration 2018

7.2.2.1. Exclusions

The following will not be considered income from work in kind:

  1. ACTIONS OF THE COMPANY OWN

    The delivery to active workers, free of charge or for a price lower than the normal market price, of shares or participations of the company itself or of other companies in the group of companies, in the part that does not exceed, for all those delivered to each worker, 12,000 euros per year, under the conditions established by regulation.

  2. UPGRADE, TRAINING OR RECYCLING

    Amounts set aside for refreshing, training or recycling of employees when required for the performance of their activities or the characteristics of their positions.

  3. COMPANY DINING ROOMS OR SOCIAL CONSERVATORIES

    Deliveries to employees of products at discounted prices that are made in canteens or company canteens or commissaries of a social nature. Indirect formulas for providing the service whose amount does not exceed 9 euros per day will be considered as delivery of products at discounted prices that are carried out in company canteens.

  4. SOCIAL AND CULTURAL SERVICES

    The use of goods intended for the social and cultural services of the employed personnel. This consideration will include, among others, the spaces and premises, duly approved by the competent public Administration, intended by companies or employers to provide the first cycle of early childhood education service to the children of their workers, as well as the contracting of this service. , directly or indirectly, with duly authorized third parties.

  5. WORK ACCIDENT OR CIVIL LIABILITY INSURANCE

    The premiums or fees paid by the company under the worker's accident or civil liability insurance contract.

  6. HEALTH INSURANCE

    Premiums or fees paid to insurance entities for illness coverage when the following requirements and limits are met:

    a) That the illness coverage extends to the worker himself, and may also extend to his spouse and descendants.

    b) That the premiums or contributions paid do not exceed 500 euros per year for each of the indicated persons, or 1,500 for each of them who are people with disabilities. Any amount above this will be deemed as earned income in kind.

  7. TEACHING SERVICES

    The provision of preschool, infant, primary, compulsory secondary education services,

    baccalaureate and vocational training by authorized educational centers, for the children of its employees, free of charge or for a price lower than the normal market price.

  8. PUBLIC SERVICE OF COLLECTIVE TRANSPORTATION OF TRAVELERS

    The amounts paid to the entities in charge of providing the public service of collective passenger transport with the purpose of promoting the movement of employees between their place of residence and the workplace, with the limit of 1,500 euros per year for each worker. Indirect payment formulas that meet the conditions established in regulations will also have such consideration.

  9. LOANS PRIOR TO 1-1-92 (DA 2 LAW)

    Loans with an interest rate lower than the legal money rate arranged prior to January 1, 1992 and whose principal had also been made available to the borrower prior to said date.

DELIVERY OF SHARES OR PARTICIPATIONS TO WORKERS (art. 41 Rgl.)

The delivery of shares or participations to active workers in the following cases will not be considered income from work in kind, and are declared exempt from taxation:

The delivery of shares or participations of a company to its workers.

Likewise, in the case of groups of companies in which the circumstances provided for in article 42 of the Commercial Code occur, the delivery of shares or participations of a group company to the workers, taxpayers for this Tax, of the companies that are part of the same subgroup. In the case of shares or participations of the dominant company of the group, the delivery to the workers, taxpayers of this Tax, of the companies that are part of the group.

In the two previous cases, the delivery may be carried out either by the company itself to which the worker provides his services, or by another company belonging to the group or by the public entity, state company or public administration that owns the shares.

The application of the provisions of the previous section will require compliance with the following REQUIREMENTS:

  1. That the offer is made within the general remuneration policy of the company or, where applicable, of the group of companies and that it contributes to the participation of workers in the company, and that the offer is made under the same conditions for all employees. workers of the company, group or subgroups of the company.

  2. That each of the workers, together with their spouses or family members up to the second degree, do not have a participation, direct or indirect, in the company in which they provide their services or in any other of the group, greater than 5 percent.

  3. That the titles be maintained for at least three years.

    Failure to comply with this deadline will motivate the obligation to present a complementary declaration-settlement, with the corresponding interest for late payment, within the period between the date on which the requirement is not met and the end of the regulatory declaration period corresponding to the tax period in which such non-compliance occurs.

UPDATING, TRAINING AND RECYCLING OF STAFF (art. 42 Rgl.)

Studies arranged by Institutions, companies or employers and financed directly by them for the updating, training or recycling of their staff will not be considered remuneration in kind, when required by the development of their activities or the characteristics of the jobs. , even when its effective provision is carried out by other persons or specialized entities.

In these cases, transportation, maintenance and stay expenses will be governed by the provisions of article 9 of the Tax Regulations.

COMPANY DINING ROOMS (art. 45 Rgl.)

The direct and indirect formulas for providing the service, admitted by labor legislation, in which the following requirements meet, will be considered as delivery of products at discounted prices that are carried out in company canteens:

  1. That the provision of the service takes place during business days for the employee or worker.

  2. That the provision of the service does not take place during the days that the employee or worker earns allowances for maintenance exempt from tax.

When the service is provided through indirect formulas, the following REQUIREMENTS must also be met:

  1. The amount of the indirect formulas may not exceed 9 euros per day. If the daily amount is higher, there will be compensation in kind for the excess.

  2. If meal vouchers or similar documents, cards or any other electronic means of payment are given to the employee or worker for the provision of the service, the following will be observed:

    • They must be numbered, issued in registered form and their nominal amount and the issuing company must appear.

    • They will be non-transferable and the amount not consumed on one day cannot be accumulated to another day.

    • No refunds on the value will be available, either from the company or a third party.

    • They can only be used in hospitality establishments.

The Company that delivers them must keep and maintain a list of those delivered to each of its employees or workers, stating:

In the case of food vouchers or similar documents, the document number and day of delivery and nominal amount.

In the case of cards or any other electronic means of payment, document number and amount delivered each day with indication of the latter

INDIRECT PAYMENT FORMULAS FOR THE PUBLIC SERVICE OF COLLECTIVE TRANSPORTATION OF TRAVELERS (Art.46. bis RD 439/2007).

They will be considered indirect formulas for the payment of amounts to the entities in charge of providing the public service of collective passenger transportation, the delivery to workers of cards or any other electronic means of payment that meet the following requirements:

  1. It can only be used as payment for transport tickets to be used on public or collective means of transport.

  2. The amount that can be paid with them may not exceed 136.36 euros per month per worker, with a limit of 1,500 euros per year.

  3. They must be numbered, issued in nominative form and the issuing company must appear.
  4. They will be non-transmissible.

  5. No refunds on the value will be available, either from the company or a third party.

  6. The company that delivers the cards or the electronic means of payment must keep and maintain a list of those delivered to each of its workers, with an expression of

    1. Document number.

    2. Annual amount made available to the worker.

In the event of delivery of cards or electronic means of payment that do not meet the above requirements, there will be compensation in kind for the entire amounts made available to the worker. However, in the event of non-compliance with the limits indicated in number 2 above, there will only be compensation in kind for the excess.