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V1999-18 ·4 July 2018 ·consulta-vinculante Medium impact
Tax

Dissolution of joint ownership must be handled separately to avoid taxation on onerous transfers

A taxpayer requested to divide properties from two different inheritances (father and mother) within a single deed. The DGT ruled that since these represent two distinct joint ownerships, they must be dissolved separately to avoid being classified as a barter (permuta).

In 6 key points

How it affects those involved

Taxpayers must ensure that the dissolution of multiple joint ownerships is processed through separate legal instruments to prevent the transaction from being recharacterised as an onerous transfer, which would trigger higher tax liabilities.

Lifecycle

2018-07-04PublishedPublished 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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