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V0272-17 1 February 2017 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
ITPAJD · novación hipotecaria

Modifying mortgage loan repayment methods is subject to Stamp Duty

A company enquired whether a loan novation intended to change the repayment system (without altering the maturity date or interest rate) could qualify for the exemption under Law 2/1994. The DGT ruled that this exemption only applies if the interest rate or the term is modified; therefore, this case is subject to Stamp Duty.

The question raised

Whether the exemption in the Transfer Tax and Stamp Duty, Stamp Duty modality, established in Article 9 of Law 2/1994, can be applied to this novation.

The DGT's ruling

The exemption under the Stamp Duty modality of Law 2/1994 is limited exclusively to novations affecting the interest rate, the loan term, or both. Analogy cannot be applied to extend this benefit to other permitted modifications, such as a change in the amortization method. Therefore, a deed that only modifies the amortization system without altering the term or the interest is subject to the variable rate for notarial documents.

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