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A taxpayer over the age of 65 has requested clarification on whether the donation of their property rental business to their children triggers capital gains or losses for Personal Income Tax (IRPF) purposes. The Directorate General of Taxes (DGT) has ruled that if the requirements of the Inheritance and Gift Tax Law for the business transfer reduction are met, no capital gain or loss shall be recognised for the donor.
The tax team reviews your specific situation.
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