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V2597-17 ·13 October 2017 ·consulta-vinculante Medium impact
Tax

95% Gift Tax reduction applicable to the transfer of shares subject to specific requirements

A query was raised regarding whether the Gift Tax reduction applies to the transfer of company shares to children. The DGT has ruled that the reduction is applicable provided that the donor meets the age or disability requirements, ceases to hold management positions, and has previously benefited from Wealth Tax exemptions.

In 6 key points

How it affects those involved

This ruling clarifies the conditions under which family businesses can benefit from significant tax relief during the transfer of ownership to descendants, specifically regarding the cessation of management duties and wealth tax compliance.

Lifecycle

2017-10-13PublishedPublished 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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