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V0795-23 3 April 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · ganancia patrimonial

Donating assets used for professional activity may not result in capital gains or losses

A professional over the age of 65 seeks advice on the tax treatment of donating their business premises to their daughter. The DGT clarifies that, provided the requirements of the Inheritance and Gift Tax Act are met, no capital gain or loss will be recognised for the donor.

The question raised

Tax treatment of said donation in the Personal Income Tax.

The DGT's ruling

The donation of assets used in the business activity generates a capital gain or loss, unless the requirements of Article 20.6 of Law 29/1987 are met. In that case, the non-existence of a capital gain or loss shall be assumed for the donor. If the donation is made following the taxpayer's retirement, as the assets are no longer necessary for their activity, this non-existence of gain or loss would not apply.

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