The Tax Agency (particularly its Department of Financial and Tax Inspection) will continue to surprise locals and strangers alike with “tax notices” to taxpayers.
During the last months and more specifically in the most important period of presentation of declarations of companies and individuals (income campaigns and companies), companies / entrepreneurs who own vehicles, are being the subject of personalized communications in which they make clear and diaphanous that “…the Tax Agency has data on the vehicles it owns and those it has through a lease…”
Everyone knows that the Treasury has had, has and will have, a special line of action regarding vehicles and their tax deductions both in Value Added Tax (VAT) and in Corporate Income Tax or IRPF.
Taking refuge in fiscal bonhomie, they argue the following: “…Within our objective of assistance, communication and transparency, for the prevention of tax noncompliance, we have initiated an information campaign regarding the tax consequences of transferring the use of vehicles to the workers for their particular use…”
The theory of the objective of this tax notice would be that the purpose of these charts is to “inform” those affected, but it is inevitable to think that said document has been received by the consignee of a future requirement or inspection.
The normative source cited in the notice is as follows: “… In accordance with article 42 Law 35/2006, of November 28, on Personal Income Tax, constituting income in kind the use, consumption or obtaining, for private fines, of goods, rights or services free of charge or for a price lower than the normal market price, even when they do not suppose a real expense for the person who grants them…”
The intentions of the treasury, in addition to the fact that we are aware of its big data about all of us, is that the use of apparent “company vehicles” for private purposes is not beyond tax control. For this they remind us of the concept of “income in kind”.
So that taxpayers do not feel surprised by this tax letter, the authorities remind us that the issue of vehicles in taxation is currently “on fire”: “…The Tax Agency, as indicated by the Directors of its Control Plan of 2022 published in the BOE of January 31, 2022, intends with this communication to make available information transparent that indicates the existence of potential risks of tax non-compliance in those cases in which the vehicles are subject to partial or exclusive affectation for fines / private use of the vehicles. workers and no compensation in kind has been given for the assignment of its use to the employees…”
To conclude, a final appreciation of the Subdirectorate of Studies, Methods and Procedures, which with the sanest intentions, underpins possible derived consequences: without prejudice to the fact that, in the event that the inconsistencies indicated persist, the fiscal risk that they represent may give rise to the tax control procedures that are necessary in relation to them. This map is a mere informative communication so you should not answer, send documentation, or justify the exclusive transfer of vehicles to economic activity, it is simply information received by the Tax Agency that is made available to you…”
What is said by the popular proverb “whoever warns, is not a traitor”, is transferred to the field of taxes, with this warning methodology. Yes, just as vehicles have their blinkers to signal their maneuvers, our tax agency uses its enormous volume of information to put its own blinkers to warn those affected.
And in conclusion, based on experience with the tax inspection of our professional sector of pharmacy offices, we can describe the subject of vehicles as “not very peaceful”. That does not mean that, in very specific cases, it can be tried, accrediting it exhaustively and to the millimeter.
Juan Antonio Sanchez.
Tax Advisor Economist. College 7654.
Associate Director TAXFARMA