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V0716-22 1 April 2022 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del capital inmobiliario

Inherited property depreciation may be calculated using the value established for Inheritance Tax

A query was raised regarding the value to be used when calculating the depreciation of an inherited property intended for rental. The DGT has ruled that, for properties acquired free of charge, the acquisition cost is the value of the asset according to Inheritance and Gift Tax regulations.

The question raised

The taxpayer wishes to know which value is taken for the calculation of depreciation for the purposes of determining income from real estate capital in the Personal Income Tax.

The DGT's ruling

The depreciation of real estate is deductible if it does not exceed 3% of the higher of the acquisition cost paid or the cadastral value (excluding land). In the case of inheritance, the acquisition cost is the value of the asset applied according to the rules of the Inheritance and Gift Tax or its proven value in said taxes. The limit of the accumulated depreciation may not exceed the acquisition value, excluding the value of the land.

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