What is the PERSONAL INCOME TAX and what it is necessary to know on this tax


The Personal Income Tax is the Personal Income Tax, that is, a tax contribution of character staff and direct that gravel, according to the equality principles, generality and progressiveness, the income of individuals living in Spain in accordance with its nature and its personal circumstances and relatives. Of the collected amount for this part tax is going to stop to the Central Administration, and somewhere else for the Autonomous Communities where resides the contributor that makes its statement.


When face the major fiscal appointment of the year, the presentation of the annual tax return, is significant to have clear how works the PERSONAL INCOME TAX.





With general character, the PERSONAL INCOME TAX gravel the income obtained by individuals living in the Spanish territory.

The incomes subjects to the tax will be all the obtained yields, the Capital gains and losses, as well as imputations of established income for Act, regardless of where have been produced and anyone that it is the residence of the payer.


They compose the income:

  • Earned incomes. For example, the salaries and wages. Additionally are considered earned incomes the retirement pensions, the widow's pension and the unemployment benefit.
  • Investment incomes. For example account and deposit interests, dividends.
  • Property unearned income. For example incomes rents.
  • Yield of economic activities. For example yields obtained by freelance professionals.
  • Capital gains and losses. For example sale stock, sale of Investment funds.
  • Imputations of income that are established by law. For Example a 2nd property.


The previously indicated incomes will be classified in two groups General incomes (earned incomes, of movable capital and property, of economic activities, imputations of income and some investment incomes) and Incomes of the Saving (investment incomes and Capital gains and losses), causing the General Basis Of assessment and the Basis Of assessment of the Saving.


The general basis of assessment will pay taxes to the general levy type, that currently goes from 19% at 45% whereas the base of the saving pays taxes to the type of one 19% for a base of until € 6,000, type of 21% for the base between € 6,000.01 euros and € 50,000, and type of 23% for the amount of the base that it exceeds of € 50,000.Once applied the tax rates to the basis of assessment these conform to the personal circumstances and relatives to determine the fee.


Once certain the fee will be proceeded to apply the deductions to those which have right.


Lastly, to determine the differential fee that is the result of our annual tax return will owe him to him of taking away to retentions of the work, occupations or any other type of progress payment during the financial year.


Therefore, the annual tax return allows calculating the aggregate amount of annual PERSONAL INCOME TAX that would owe paid credit and discover if, with the advanced thing for the via of the retentions and progress payments, has been paid of more or of less. That is, if has been paid more via retentions and progress payments, inland revenue you will return the money that it corresponds him. If, on the other hand, the retentions and progress payments are lower than the fee, the statement will go out to pay.



Keys of the annual tax return


Although the process has been simplified a lot in recent years, the annual campaign of the annual tax return generates interest between the majority of contributors. That is why there are some basic details that is appropriate to know.


  • Term. The campaign to do and present the statement takes place between the months of April and June. But affects to the previous fiscal year, that is, to everything that it has see with the acquisition of incomes from 1 January until 31 of December of the previous year.
  • Obliged to declare. General, the contributors for the PERSONAL INCOME TAX are obliged to present and subscribe statement for this Tax, with the limits and conditions in accordance with the regulations established. Nonetheless, do not have obligation of declaring the contributors that they obtain coming from incomes exclusively of following sources, in individual or joint tax payment:


    • Whole yields of the work (salaries, wages, pensions...) with following limits:


      • With general character, the limit is € 22,000 annual, if they come from an only payer. Additionally is applied if have been received of several payers when:


        • There are several payers, provided that the sum of the second one and subsequent by order of amount do not exceed as a whole the amount of one € 1,500.
        • The only work yields consist of passive provisions (pensions of the Social Security Institute and ex-civil servants, provisions of pension plans, group insurances, mutual societies of social security, business social pension plans, Guaranteed pension plans and provisions of dependence insurance), provided that the determination of the type of applicable retention carried out was had in accordance with the in accordance with the regulations established special procedure (to application of the contributor through presentation of the model 146).
      • With the limit of € 12,000:


        • For those which have received earned incomes of more than a payer and the sum of the amounts of which are not the main payer exceed the € 1,500
        • If is receive compensatory pensions of the spouse or annuities for foodstuffs not exempt.
        • If the payer is not obliged to carry out retentions in its payments. (For example, pensions from the foreigner).
        • When whole yields of the work subjects are received to fixed rate of retention (business administration, possession to Boards of Directors, teaching of courses and similar or cession of rights for literary works, artistic or scientist).
    • Whole yields of the movable capital (dividends of stock, interests of accounts...) and subjected patrimonial gains to retention or deposit to account (for sale of shares, investment funds, etc...) with the limit set of €1,600 annual.
    • Property incomes accused (for the for the one owned by certain non leased properties different of the home...), treasury bill and grant yields for council housing or price acquisition taxed, with the limit set of € 1,000 annual.

They neither have present statement if you obtain whole yields of the work, of capital or economic activities, or patrimonial gains that as a whole do not exceed the € 1,000 nor if you have had, exclusively, patrimonial losses lower than € 500.


In any case will be obliged to present annual tax return if they receive any other type of different incomes of the previous mentioned or they exceed indicated maximum amounts.


  • Draft. Is the document that can use the vast majority of contributors to present its more comfortable way annual tax return thanks to the details that the Tax Agency has on its fiscal circumstances. But it is necessary to revise it in depth before sending, since it can include mistakes or lack some personal data that inland revenue does not have updated. In that case, the person responsible for these errors would be the contributor, that you would be able to confront a sanction for sending the document ill completed.
  • Minimum, reductions and deductions in the PERSONAL INCOME TAX. Before putting on hands to the work with the statement, suits consult which are minimum staffs and relatives, which are the reductions and above all that deductions there is during that campaign. In addition, the autonomous deductions usually change year-to-year, which is why is significant to know them in advance to avoid errors and make good use of to the maximum the tax advantages of which you can enjoy.
  • Documentation. Together with the statement, is necessary to present the NATIONAL ID NUMBER of the holder and of all the people included in the same one, the certificate of the earned incomes and any other deposit related to the work (a settlement for dismissal, indemnities, etc.), as well as the land registry reference number of the properties that they appear, verification slips of donations or pension plans.
  • Assistance. Is appropriate to have presents services of official attention to those which you can attend to obtain assistance with the income. The Call centre of the Tax Agency solves, via the telephone 901 33 55 33 or 91 554 87 70, the doubts that they can emerge without having to go anywhere a branch from the SPANISH TAX AGENCY. To do the statement with assistance of an adviser in person, is owed request previous appointment in the telephone of previous appointment (individual attention): 901 22 33 44 and 91 553 00 71 (of M through F, of 9 to 19h).




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