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V2098-20 ·23 June 2020 ·consulta-vinculante Medium impact
Tax

Deduction of 3% depreciation on the acquisition cost of a life usufruct is permitted

A taxpayer inquired whether they could deduct the depreciation of a property held through a life usufruct acquired via sale and purchase. The Directorate General for Taxes (DGT) ruled that it is possible to deduct 3% of the acquisition cost of the usufruct.

In 6 key points

How it affects those involved

This ruling clarifies the tax treatment for holders of life usufructs, confirming their right to claim depreciation against real estate income based on the acquisition cost of the right itself.

Lifecycle

2020-06-23PublishedPublished 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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