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V0249-16 ·25 January 2016 ·consulta-vinculante Medium impact
Tax

Dissolution of a SICAV sub-fund does not qualify for special merger or demerger tax regimes

Spanish residents consulted whether the restructuring of a compartment within a Luxembourg SICAV could benefit from the special tax regime for mergers and demergers under the Corporate Income Tax Act. The Directorate General for Taxes (DGT) ruled that this is not possible, as the compartment is not a legal entity and its assets do not constitute a business undertaking or a financial demerger.

In 6 key points

How it affects those involved

This ruling limits the tax planning options for Luxembourg-based SICAV structures involving sub-funds, as their restructuring will not be treated under the preferential tax regimes applicable to corporate mergers or demergers in Spain.

Lifecycle

2016-01-25PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

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This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
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