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V0758-25 29 April 2025 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · ganancia patrimonial

Capital gain from expropriation is recognised in the year of occupation

A property owner asks when to declare a capital gain from the expropriation of her home, including a payment in kind. The DGT responds that the transfer occurs when the property is occupied by the expropriating authority.

The question raised

Question raised: Temporal imputation of the corresponding capital gain.

The DGT's ruling

The change in net worth due to expropriation is considered to have occurred when the occupation of the expropriated property takes place. In general terms, this occurs once the fair value has been determined and paid. In the case under consultation, as the occupation certificate has not yet been drawn up nor the fair value paid, no transfer has occurred and it is not appropriate to compute the capital gain or loss.

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