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V0016-22 4 January 2022 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · pacto sucesorio

No capital gains or losses on transfers via present-day succession agreements

The taxpayer inquired whether the transfer of a plot of land to her son through a succession agreement with present effects is exempt from Personal Income Tax (IRPF). The Directorate General for Taxes (DGT) ruled that such transfers are considered gratuitous transfers by reason of death and are not subject to capital gains tax.

The question raised

Taxation in the Personal Income Tax (IRPF) of the transfer.

The DGT's ruling

The transfer of assets through succession agreements with present effects, such as the Mallorcan 'definición', is considered a lucrative transfer due to death. Therefore, the tax exclusion under Article 33.3.b) of the Personal Income Tax Law applies, as it is estimated that no capital gain or loss exists. This criterion extends to other succession agreements under regional laws other than the Galician 'apartación'.

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