Spain has launched a large-scale program to refund excess income tax (IRPF) payments to former members of labor funds. Pensioners who have waited many years for a resolution will finally be compensated for overpayments made in previous years. The payouts are expected to be completed by the end of 2025, marking the long-awaited conclusion of a prolonged issue for many.
Recently, an amendment was approved in the country’s parliament allowing the Ministry of Finance to begin one-time payments. This decision affects millions of citizens who contributed more to the funds than required by law. They will now need to complete a simple refund application procedure via the official tax agency website.
In the coming weeks, pensioners covered by the Supreme Court decision of 2023 will be able to apply for refunds for the periods from 2019 to 2022, as well as for earlier years if they are not outside the statute of limitations. Refund amounts may reach up to €4,000, and payments will be made in a single transfer.
Key dates and application procedure
To receive compensation, applicants must fill out a special form on the tax agency’s website, providing personal details and a bank account number for the transfer. Those who have already submitted an application before July 26, 2025 do not need to reapply — their request will be processed automatically for all eligible tax periods.
For everyone else, there are clear deadlines: until February 2, 2026, you can submit documents for refunds for 2020, 2021, and 2022; until February 2, 2027 — for 2021 and 2022; until February 2, 2028 — only for 2022. Authorities promise that straightforward cases will be processed quickly, while more complex ones will require a bit more time. If the funds are not received by the end of the year, starting in January, 4% annual interest will begin to accrue on the refund amount.
Features for heirs and additional clarifications
If a pensioner passed away between 2019 and 2024, the right to a refund transfers to heirs or legal successors. They follow the same application procedure via the online platform. To make the process easier, the tax authority has posted detailed instructions and videos with step-by-step explanations on how to complete the application.
Thus, Spanish pensioners and their families now have a real opportunity to reclaim significant sums overpaid to the budget. It’s important not to miss the deadlines and to carefully complete all the necessary documents to ensure you receive the compensation you are entitled to.
