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V2754-20 ·10 September 2020 ·consulta-vinculante Medium impact
Tax

No capital gains or losses on business donations if Art. 20.6 ISD Law requirements are met

A query was raised regarding whether the donation of an agricultural holding allows for exemption from capital gains tax under Personal Income Tax (IRPF). The Directorate General for Taxes (DGT) ruled that non-taxability applies provided the requirements of Article 20.6 of the Inheritance and Gift Tax Law are satisfied.

In 5 key points

How it affects those involved

This ruling clarifies the tax treatment for the transfer of business assets, confirming that donations of agricultural holdings can be exempt from capital gains tax if specific legal criteria are met.

Lifecycle

2020-09-10PublishedPublished 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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