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A taxpayer queried the taxation of a co-ownership dissolution involving several properties between two siblings without financial compensation. The DGT ruled that, as equivalent and proportional lots are formed, it constitutes documented legal acts rather than onerous transfers, and no capital gains arise for Income Tax purposes.
This ruling clarifies that the division of co-owned property into equal parts does not trigger capital gains tax or transfer tax based on onerous transactions, provided the lots are equivalent.
The tax team reviews your specific situation.
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