- What is it for?
This form is used to pay Hacienda the amounts withheld from the invoices you have received when working with other freelancers.
- Who has to submit this form?
If you have had transactions with other freelancers, it is likely that you will find on your invoice the concept "Retención de IRPF” (Personal Income Tax Withholding). This means that you will have to pay this amount to the tax authorities. The total of your invoice will remain the same, but you will pay part of it to Hacienda and part to the professional with whom you have worked.
- When must it be submitted?
This is a form that must be filed quarterly, as long as you have received invoices with withholdings from other freelance workers during that quarter. You will also be obliged to file the annual form even if you have only had to file the quarterly one on a single quarter. The annual form is Modelo 190 (explained below).
- When do I have to pay and when don't I?
When you see a negative amount on an invoice with the concept of the Personal Income Tax (IRPF), it does not mean that it is a discount on the invoice, but that this amount must be paid by you to the Hacienda through this form on behalf of the supplier.
Bear in mind that if you have received invoices with withholdings from other professionals in the quarter, we will report this form and the result will always be to pay.
- When do I have to pay and when don't I?
The amount is already specified in the invoices you receive with this concept. However, it will be 15% of the taxable base of the invoice (in some cases 7% when the freelance supplier is within their first 2 years). You don't need to worry, as you will always see this item broken down on the invoices you receive with withholding tax.