Exclusion of Pensioners from IRPF Tax Refunds Sparks Controversy
A significant number of pensioners in Spain are ineligible for IRPF tax refunds despite recent legislative efforts.
Key Points
- • Thousands of mutual pensioners excluded from IRPF refunds.
- • Recent legislative reforms approved but do not cover all pensioners.
- • Pensioners from the 1960s and 1970s with low pensions are particularly affected.
- • Social and political groups are advocating for changes to include excluded pensioners.
Thousands of mutual pensioners in Spain are excluded from the IRPF tax refund process, despite recent legislative reforms aimed at facilitating tax refunds for the fiscal years 2019 to 2022. The reform, approved by the Spanish Congress, does not benefit all pensioners, particularly those who received pensions with no IRPF withholdings. Specifically, pensioners from the 1960s and 1970s, who currently receive low pensions without any IRPF deductions, are left out of the refund process. The Spanish Tax Agency argues that without the withholding of IRPF, there is no refund possible, leaving many vulnerable individuals without recourse to reclaim overpaid taxes. This situation has drawn criticism, as social and political groups are calling for corrections to ensure that all pensioners, particularly those who have contributed in the past, can claim their rights to tax refunds.