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V4112-16 ·26 September 2016 ·consulta-vinculante Medium impact
Tax

Transfer of primary residence in lieu of payment to settle mortgage debt is exempt from Personal Income Tax

A query was raised regarding whether the transfer of a primary residence in lieu of payment to cancel a mortgage debt is exempt from Personal Income Tax (IRPF). The Directorate General for Tax Assurance (DGT) ruled that the resulting capital gain is exempt, provided certain legal requirements are met.

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2016-09-26PublishedPublished 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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