In Spain we can transfer advance payment and then apply a net deduction to recover this payment.
Example:
If a client wishes to pay a 3,000 EUR bonus to the talent in advance of the payroll cycle, we handle the transaction as follows:
Since this is a gross amount and we cannot yet determine if the IRPF% (income tax) rate will increase due to this payment, we initially process an advance of 50% (1,500 EUR).
When the payroll cycle arrives, the full 3,000 EUR bonus is added, and a net deduction of 1,500 EUR is applied to prevent the talent from receiving the same amount twice.
What if the client directly transfers the advance payment from their side?
Since the advance payment is not made by WM directly to the talent, we are unable to apply a net deduction on our side. Instead, the talent will be responsible for reimbursing the previously received advance payment directly to the client, without WM's involvement.
In this case, WM will process the full bonus amount during the payroll cycle, and any arrangements regarding the advance payment must be managed between the talent and the client independently.
Sources: SF Case# 00204957 & Case# 00205843