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V0983-19 ·8 May 2019 ·consulta-vinculante Medium impact
Tax

Legal and default interest from voided subordinated debt taxed as capital gains

A taxpayer has requested clarification on how to tax amounts received following a court ruling that declared a subordinated debt contract void. The DGT clarifies the tax treatment for the repayment of principal, interest, and legal costs.

In 6 key points

How it affects those involved

This ruling clarifies the tax classification of various components received after the annulment of a financial contract, distinguishing between principal repayment, interest income, and legal costs.

Lifecycle

2019-05-08PublishedPublished 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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