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V0382-18 14 February 2018 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
ITPAJD · transmisiones patrimoniales onerosas

No ITP due on corporate loans unless secured by real guarantee and public deed

A query was raised regarding whether Form 600 must be filed for loans received from a company. The DGT ruled that these are not subject to Transfer Tax (ITP) on onerous transfers; however, they may be subject to Stamp Duty (AJD) if a real guarantee is provided via a public deed.

The question raised

Whether Form 600 must be submitted on each occasion that money is received for a few days and whether there is any alternative to avoid making such settlements, without this causing prejudice to the lending company regarding the attribution of interest income when it is not actually collected.

The DGT's ruling

Loans made by a commercial company are subject to VAT and not to the onerous transfer of assets modality of the ITP and AJD. If the loans are formalized in a public document, they will only be taxed for the variable portion of Documented Legal Acts if they are secured by a real security interest that allows for their registration in the Property Registry. In that case, a self-assessment must be carried out for each notary deed granted.

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