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V1407-21 ·13 May 2021 ·consulta-vinculante Medium impact
Tax

Capital gains from property sales may be proportionally allocated if payment is deferred for more than one year

A taxpayer has requested clarification on when to declare capital gains from the sale of a property where the price is received in deferred instalments. The Directorate General for Taxes (DGT) explains that while the general rule is the date of delivery, an option for proportional allocation exists.

In 6 key points

How it affects those involved

This ruling provides clarity for taxpayers involved in deferred payment arrangements, offering a choice between immediate taxation or spreading the tax liability proportionally over the payment period.

Lifecycle

2021-05-13PublishedPublished 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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