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V0560-22 18 March 2022 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · ganancia patrimonial

Capital gains from instalment sales may be attributed proportionally to payments received

A taxpayer has enquired whether they can declare the gain from the sale of rural land as payments are received. The DGT has ruled that it is possible to opt for proportional attribution, provided the requirements for instalment transactions are met.

The question raised

Possibility of attributing the capital gain to Personal Income Tax (IRPF) as such payments are received.

The DGT's ruling

The capital gain or loss is attributed to the period in which the change in assets occurs. However, in installment transactions or those with deferred pricing, the taxpayer may opt to attribute the income proportionally as the payments become due. Such transactions are considered those where the price is received through successive payments and the period between the delivery and the maturity of the final installment exceeds one year.

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