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V0762-19 4 April 2019 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
ITPAJD · disolución de comunidades de bienes

Dissolution of joint property ownership only subject to tax on documented legal acts if avoidable excess adjudication is avoided

Siblings wish to divide real estate inherited from their parents, where one sister has already acquired a property through monetary compensation. The DGT clarifies that joint property ownership must be dissolved independently and without exchanging assets between them to avoid taxation on onerous transfers.

The question raised

The taxpayer and her two siblings are owners of several real estate properties received through their parents' inheritances. They currently wish to distribute the properties. The taxpayer's sister had already acquired one of the properties, compensating her siblings with cash.

The DGT's ruling

Each community of property must be dissolved without excess adjudication or with unavoidable excesses compensated solely in cash. If assets of a community are exchanged to compensate another, it shall be considered a barter and taxed under onerous transfers of property. If the excesses are avoidable or not compensated, they shall be taxed as onerous transfers or donations, as applicable.

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