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V1261-23 ·12 May 2023 ·consulta-vinculante Medium impact
Tax

Loss from an unrecoverable debt following company liquidation is deductible in that tax year

A taxpayer has requested clarification on which tax year should be used to declare a capital loss resulting from a debt that could not be recovered following the liquidation of a company. The Directorate General of Taxes (DGT) has ruled that the loss must be included in the general tax base of the year in which the dissolution and liquidation occur.

In 5 key points

How it affects those involved

This ruling clarifies the timing for tax deductions related to uncollectible debts arising from corporate liquidations, ensuring certainty regarding the correct tax period for reporting capital losses.

Lifecycle

2023-05-12PublishedPublished 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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