Per Diems and Travel Expenses in Spain: AEAT Tax-Exempt Limits and How to Document Them

What per diems and travel expenses are

In Spain, dietas (per diems) are the amounts a company pays an employee to cover meals and accommodation when travelling away from their usual workplace for work reasons. Together with locomotion expenses (mileage, transport tickets, tolls and parking), they make up what is commonly called travel expenses.

The key tax point is that, if they meet the requirements and limits set by the Spanish Tax Agency (AEAT) in the Personal Income Tax (IRPF) Regulation, these amounts are tax-exempt and do not pay Social Security contributions.

Tax-exempt limits under AEAT rules

The IRPF Regulation sets the maximum amounts that can be exempt. As a general rule:

• Meals without overnight stay: up to €26.67 per day within Spain and €48.08 abroad.
• Meals with overnight stay: up to €53.34 per day within Spain and €91.35 abroad.
• Accommodation: the amount proven by invoice, with no fixed cap.
• Mileage: €0.26 per kilometre driven in the employee's own vehicle, plus justified tolls and parking.

Anything exceeding these limits is treated as cash remuneration, taxed as employment income and subject to Social Security contributions.

What counts as an exempt per diem

To be exempt, the per diem must relate to a genuine trip to a municipality other than the usual workplace and the worker's home. The company must be able to prove the date, place and reason for the trip. Fixed monthly amounts unrelated to specific trips are not accepted as exempt per diems.

How to document and reimburse

1. Keep receipts and invoices for meals, hotels, transport, tolls and parking.
2. Record the date, destination and business reason for each trip.
3. For mileage, note the kilometres driven and the route taken.
4. Link each expense to the employee and the relevant project or client.

Payroll treatment

Exempt per diems appear on the payslip in a separate section for non-salary items, outside the contribution and IRPF withholding base. Any excess over the legal limits must be reported as taxable pay. Good documentation prevents problems during a Labour or Tax inspection.

Best practices for companies

• Set a clear, written internal expense policy.
• Use a digital system so employees can upload receipts and requests.
• Always reimburse against supporting documents and within agreed deadlines.

With RegulaKit you can centralise HR documentation, absences and work-time records, which makes it easier to prove business trips. To estimate the cost of a possible breach, try our penalty calculator.