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V0055-24 14 February 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · exención

Sale of primary residence by those over 65 is exempt and should not be declared in the taxable base

A query was raised regarding whether the exemption for the sale of a primary residence by individuals over 65 implies that the capital gain does not need to be declared. The DGT responds that, provided the requirements are met, the gain is exempt and must not be included in the taxable base, regardless of the amount.

The question raised

Whether the exemption set forth in Article 33.4.b) of the LIRPF implies non-inclusion in the taxable base and, therefore, the lack of obligation to declare the transfer in capital gains and losses, regardless of its amount.

The DGT's ruling

To apply the exemption provided in Article 33.4.b) of the Personal Income Tax Law (LIRPF), the taxpayer must be 65 years of age on the date of transfer and the dwelling must have served as their habitual residence up to any day within the two years prior to the sale. If these requirements are met, the capital gain generated shall be exempt and shall not need to be included in the taxable base, regardless of its amount.

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