The millions of retirees in Spain also have the obligation to pay taxes based on the withholding of personal income tax. Thus, in 2024, the Government has updated these sections that will depend on the financial situation of those who receive a contributory pension benefit. Check here the complete table of IRFP deductions for retirees in Spain. This will depend on the income, personal and family situation of the holder. There is a group of people who are also exempt from paying these taxes.
“Pensions, the amount of which exceeds the legally fixed annual amount, are taxable under the conditions set by the Personal Income Tax (IRPF) regulations and subject, where applicable, to the general regime of withholding taxes. This confirms the Ministry of Inclusion, Social Security and Migration the obligation of this group of retirees to pay the respective taxes each year.
As with any worker, SpainSpanish pensioners are also subject to the Personal income tax. The amount of this sum will depend on the income of the pensioner concerned and their situation. As indicated on this page belonging to the Government, they will be exempt from payment Income tax retirees who find themselves in this situation and who meet the following conditions which must be verified before the bodies dependent on the State.
- Pensions derived from acts of terrorism.
- Help of any kind received by people affected by the human immunodeficiency virus.
- Pensions for those who have suffered injuries or mutilations during or as a result of the civil war, either as a result of the State’s passive class system or as a result of special legislation enacted for this purpose.
- Pensions for uselessness or permanent disability from the Passive Classes Scheme, provided that the injury or illness which caused it completely disqualifies the tutor from receiving the pension from any profession or trade.
- Orphan’s pensions.
- Compensation for prison sentences resulting from cases provided for in Amnesty Law 46/1977, of October 15.
Complete table of deductions for retirees
Spanish retirees, like the rest of workers, are subject to the Personal income tax As for the national and regional rate, the sum of the two will therefore be the total percentage of the amount that will be deducted from the amount of the benefit. This will gradually go from what they earn up to 12,450 euros, which will be subject to a personal income tax of 19%, to those with an income of 300,000 euros, who will be taxed at 47%.
- From 0 to 12,450 euros: 19%.
- From €12,450 to €20,200: 24%.
- From 20,200 to 35,200 euros: 30%.
- From €32,500 to €60,000: 37%.
- From 60,000 to 300,000 euros: 45%.
- More than 300,000 euros: 47%.
In this way, people will be subjected to a Income tax depending on the income generated, the personal and family situation of the owner. Article 81 of the Regulation of the Income tax refers to three types of family situations that influence personal income tax when filing a tax return.
They may have a variation in the percentage of tax on the Personal income Single, widowed, legally separated or divorced people and married couples whose spouse has an income of less than 1,500 euros. Those who have children under 18 years of age or disabled adults can also benefit from a reduction in the amount of taxes to be paid. Also those who live with children under 25 years of age with an annual income of less than 8,000 euros.
Regarding the timing of making the declaration of to rent outPeople who exceed a minimum income of 12,450 euros will have to do so. Thus, people receiving the minimum non-contributory pension, which in 2024 is 7,250.60 euros, are not required to submit the exercise of their right. Income tax annual. When you do this, you must be careful because if you have additional income, you will be obliged to declare your current situation to the Treasury and pay the corresponding amounts.
