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V0688-24 15 April 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · valor de adquisición

For Personal Income Tax, acquisition value is the actual amount paid plus inherent costs and taxes

A taxpayer inquired about the value to be used for ITPAJD (Transfer Tax) and for determining the acquisition value for Personal Income Tax (IRPF) following the purchase of a property at a judicial auction. The DGT clarified that for ITPAJD, the cadastral reference value or the higher of this and the agreed price must be used, whereas for IRPF, the acquisition value is the actual amount paid plus expenses and taxes.

The question raised

Which of the three values must be taken into consideration for the payment of the Transfer Tax and Documented Legal Acts Tax and to determine the acquisition value for the purposes of Personal Income Tax.

The DGT's ruling

In the ITPAJD, the tax base for real estate is the cadastral reference value, unless the declared value or the agreed price is higher. For the IRPF, the acquisition value is composed of the actual acquisition amount plus the cost of investments, improvements, expenses, and inherent taxes, excluding interest.

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