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A professional association, the sole shareholder of a limited company, has enquired whether it can apply the special merger regime when absorbing said company. The DGT has ruled that this is possible if the operation produces results equivalent to a merger and meets the requirements for dissolution without liquidation.
This ruling clarifies the applicability of tax-neutral merger regimes to professional associations, provided the transaction mimics a standard merger and adheres to dissolution without liquidation rules.
The tax team reviews your specific situation.
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