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V1478-20 ·20 May 2020 ·consulta-vinculante Medium impact
Tax

Payment for boundary agreement is not a capital loss, but increases acquisition value

A property owner paid a sum to a neighbour to resolve a dispute regarding estate boundaries and avoid litigation. The DGT has ruled that this payment does not constitute a capital loss for Personal Income Tax (IRPF) purposes.

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2020-05-20PublishedPublished 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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