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A query was raised regarding whether the reduction in Inheritance and Gift Tax for the donation of business shares applies to the total value or only to the portion exempt from Wealth Tax. The Directorate General for Taxes (DGT) ruled that the reduction only applies to the part of the shares' value that has been exempt from Wealth Tax.
This ruling clarifies the scope of tax reductions for business transfers, limiting the benefit to the portion of assets not subject to Wealth Tax.
The tax team reviews your specific situation.
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