Tax advisor: The General Directorate of Taxes analyzes how the unilateral salary reduction, annulled by the courts, is taxed in the Personal Income Tax

The binding consultation of the General Directorate of Taxes (V1227-23) dated May 10, 2023, analyzes the taxation in Personal Income Tax (IRPF) of a salary reduction unilaterally imposed by a company and subsequently annulled by a final court ruling, when the company subsequently pays the corresponding arrears and interest. The earnings that the individual receives… Continue reading Tax advisor: The General Directorate of Taxes analyzes how the unilateral salary reduction, annulled by the courts, is taxed in the Personal Income Tax