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V0526-22 16 March 2022 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
OTRO · división horizontal

Horizontal division and exchange of shares in a community of property subject to ITPAJD and IIVTNU

Three companies holding undivided interests in three properties intend to carry out a horizontal division of two of them and acquire exclusive ownership through an exchange of shares. The DGT determines that the operation is not a dissolution of the community, but rather an exchange of shares and a horizontal division.

The question raised

1) Taxation of the operations raised in Corporate Income Tax.

The DGT's ruling

Horizontal division is taxed as documented legal acts according to the TRLITPAJD. The adjudication of exclusive ownership through the exchange of shares between co-owners constitutes an onerous transfer subject to ITPAJD and IIVTNU. If the exchange is subject to VAT, it will be taxed as documented legal acts. In Corporate Income Tax, the operation does not generate income if the adjudication respects the ownership share, unless there are excesses or defects in the adjudication.

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