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V0049-26 13 January 2026 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IVA · unidad económica autónoma

Transfer of a separate economic unit may be exempt from VAT and covered by a special non-cash contribution regime in income tax

A lottery retailer asks whether contributing her assets to a new company with her children is subject to VAT and whether it results in a capital gain for her income tax. The DGT states that VAT exemption depends on whether the assets form a separate economic unit and notes that there is a special non-cash contribution regime in corporate tax that could avoid income tax liability.

The question raised

Whether the aforementioned contribution would be subject to Value Added Tax and whether it would generate a capital gain for the current holder of the activity subject to Personal Income Tax.

The DGT's ruling

For VAT purposes, the transfer shall not be subject to tax if the elements constitute an autonomous economic unit capable of carrying out an activity by its own means. For Personal Income Tax (IRPF) purposes, the contribution of assets generates capital gains or losses based on the difference between the acquisition value and the contribution value. However, if the requirements of Article 87 of the Corporate Income Tax Act (LIS) are met, an option may be made for a special regime where the natural person does not recognize any income and the shares retain their original acquisition values and dates.

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