PERSONAL INCOME TAX RETURN 2020

PERSONAL INCOME TAX RETURN 2020

Posted on Apr 12, 2021

PERSONAL INCOME TAX RETURN 2020

The Order of the Ministry of Finance (Order HAC/320/2021) published in the Official State Gazette (BOE), on the 7th April, approved an extraordinary instalment payments scheme for the tax payment of the Personal Income Tax (IRPF) declaration for those taxpayers affected by a Temporary Employment Regulation (ERTE) during the year 2020.

This extraordinary instalment payments scheme will allow taxpayers who have been affected by an ERTE during 2020, to fraction the payment of their personal income tax return in six instalments, from July to December 2021, without any accrual of interest and without the need to provide guarantees, always that the tax return is presented within the voluntary declaration period.

This optional scheme is incompatible with:

• Article 62.2 RIRPF, that is, the usual postponement in two instalments: 60% and 40%
• Article 65 of the General Tax Law (LGT), that is, the general deferral regime.

In addition, it will also not be applicable to taxpayers in the special tax regime applicable to workers posted to Spanish territory. (Art. 93 Personal Income Tax).

In order to be a beneficiary of this new extraordinary scheme, the total amount of the taxpayer's outstanding debts cannot exceed 30,000 euros.