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V2001-25 ·27 October 2025 ·consulta-vinculante Low impact
Tax

Requirements for the 95% reduction in Gift Tax upon the transfer of shares

Consultants ask whether a parent's donation of company shares meets the conditions for a 95% reduction in Inheritance and Gift Tax. The DGT confirms it is possible if LISD requirements and prior exemption under Wealth Tax are met, noting that family members may exercise management functions even if not shareholders.

In 6 key points

How it affects those involved

Donations of company shares by parents to family members may qualify for significant tax reduction under specific conditions.

Lifecycle

2025-10-27PublishedPublished 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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