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V0787-14 21 March 2014 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
ITPAJD · valor real

The taxable base for ITPAJD is the real value of the property, which may differ from the agreed price

A taxpayer inquired whether the purchase price of a property from an entity controlled by the Administration (Bankia) constitutes the real value for ITPAJD purposes. The DGT ruled that the real value forms the taxable base and that the Administration may verify it, as the agreed price does not always coincide with the market value.

The question raised

Whether the price agreed upon by the applicant, taking into account the lack of relationship between the parties and the fact that the seller is controlled by a Public Administration, is considered real value for the purposes of Article 10.1 of the consolidated text of the Law on Property Transfers and Documented Legal Acts, and, therefore, should constitute the tax base of the tax, in its modality of onerous property transfers, once the sale and purchase transaction has been formalized.

The DGT's ruling

The tax base in onerous transfers is the real value of the asset, which must be declared by the taxpayer and may be subject to verification by the Administration. The agreed price does not necessarily coincide with the real value, even in the absence of a relationship between the parties, as social or economic policy motives may exert influence. According to jurisprudence, where a market exists, the real value coincides with the market value.

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