The Directorate General for Legal Certainty and Public Faith establishes that Land Registrars may not suspend the registration of a cancellation by demanding that a judicial authority expressly declare the piercing of the corporate veil. If a court ruling orders the annulment of a land contribution to a company and the cancellation of its entries, the judicial mandate constitutes sufficient title for registration purposes, without the registrar being required to review the reasoning or grounds of the resolution (Art. 118 of the Spanish Constitution and Art. 17 of the Mortgage Law).
For individuals and companies obtaining rulings for the annulment of asset contributions, the effectiveness of the judicial resolution is guaranteed without additional registration hurdles based on substantive criteria (Art. 118 of the Spanish Constitution). Land Registrars' capacity for qualification is limited, as they must comply with judicial mandates containing express orders for cancellation and re-registration, without being able to condition their actions on a declaration of piercing the corporate veil (Art. 100 of the Criminal Procedure Law and Art. 322 of the Mortgage Law).
The tax team reviews your specific situation.