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V0359-24 12 March 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · nuda propiedad

Reinvestment exemption cannot be applied if only bare ownership of the property is transferred

The taxpayer sought to determine whether the reinvestment exemption for a primary residence could be applied when selling the bare ownership of her home, following a donation from her father. The Directorate General for Taxes (DGT) ruled that this is not possible, as the exemption requires full ownership of the property.

The question raised

Possibility of the consultant applying the exemption for reinvestment in habitual residence to the capital gain generated in the transfer of the bare ownership of residence "A".

The DGT's ruling

Tax benefits related to habitual residence are linked to the ownership of full title to the property, even if it is held jointly. By intending to transfer only the bare ownership, the taxpayer does not hold full title and, therefore, is not entitled to the exemption for reinvestment in habitual residence.

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