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The taxpayer asks whether the contribution of assets from his father to a trust has implications for Inheritance and Gift Tax. The DGT rules that, as the trust is not recognised in Spain, the relationships are considered to be direct between the settlor and the beneficiary.
The lack of legal recognition for trusts in Spain means that tax obligations are assessed based on the direct relationship between the settlor and the beneficiary, rather than through the trust structure.
The tax team reviews your specific situation.
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