On September 4, 2020, the Sentence of the Administrative Chamber of the Supreme Court number 1139/2020 was published. In this case the Supreme Court has understood that in cases of termination of the Management Director contract due to the sole decision of the employer there is the right to a mandatory minimum compensation (calculated on the basis of 7 days of salary per year worked, with the limit of 6 monthly payments), being said compensation fully exempt from Personal Income Tax (IRPF) under the provisions of article 7.e) of the Personal Income Tax Law.
