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V0537-24 ·9 April 2024 ·consulta-vinculante Medium impact
Tax

Improvements and extensions to inherited property may be added to the acquisition value for capital gains calculations

A taxpayer inquired whether energy efficiency works and the renovation of kitchens and bathrooms can be included in the acquisition value of an inherited property. The Directorate General for Taxes (DGT) ruled that only works qualifying as improvements or extensions may be added, excluding repair and maintenance expenses.

In 6 key points

How it affects those involved

This ruling clarifies the distinction between capital improvements and routine maintenance, which directly affects the taxable capital gain when selling inherited property.

Lifecycle

2024-04-09PublishedPublished 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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