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A taxpayer requested clarification regarding Personal Income Tax (IRPF) treatment for the donation of company shares to their children. The Directorate General for Taxes (DGT) ruled that no capital gain or loss will arise provided the requirements set out in Article 20.6 of the Inheritance and Gift Tax Act are satisfied.
This ruling provides legal certainty for taxpayers donating company shares to descendants, confirming that such transfers can be exempt from capital gains tax if specific statutory conditions are met.
The tax team reviews your specific situation.
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