IRPF withholding is the percentage your client deducts from your invoice and advances to the tax office on your behalf when you're a freelancer invoicing a company or another professional in Spain. The general rate is 15%; new freelancers can apply 7% during their first three years registered; and certain activities under modules apply 1%. FacturaHub calculates the withholding automatically, shows it broken down in the PDF and deducts it from the total — whether you say it on WhatsApp, from Claude or in the dashboard.
An example makes it clear: you invoice €1,000 of consulting to a Spanish company. The invoice looks like this: base €1,000, +21% IVA (€210), −15% IRPF (€150) = €1,060 to collect. You pay the IVA in the quarterly Modelo 303; the IRPF has already been advanced by your client and you reconcile it in your annual income tax return. FacturaHub does that calculation on every invoice without you touching a calculator.
IRPF only applies when the client is a Spanish company or professional. To individuals (non-professional natural persons) you invoice without withholding, and to foreign clients — EU or non-EU — you don't apply it either. FacturaHub applies the correct rule based on the client's type and country, and warns you if you pick a combination that doesn't fit.
If you've been registered less than 3 years, set 7% once and it applies to all your invoices; when you hit 3 years, switch to 15% without recalculating previous ones. The 1% rate is reserved for certain activities under objective assessment (modules). You choose it once in your profile and FacturaHub remembers it.
Each invoice with IRPF is recorded for your quarterly obligations (the Modelo 130 if you file under direct assessment) and for the annual summary your client files (Modelo 190). Export the detail as CSV for your accountant whenever you need it. Free from day one, no credit card.
15% general, 7% for new freelancers (first 3 years), 1% for modules. Choose and it's applied.
Tax base x IRPF = withholding. Deducted from total. No manual calculation errors.
The invoice shows: subtotal, IVA, IRPF withholding and total payable. All clear.
IRPF only applies when invoicing companies or professionals, not individuals. FacturaHub reminds you.
The first three years as a freelancer. After that it goes to 15%.
No. Only to companies and professionals. To individuals you invoice without withholding.
No. It's calculated on the tax base, not on IVA. Total is: base + IVA - IRPF.