Skip to content
Back to index
V0981-16 14 March 2016 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · aportación no dineraria

Requirements for non-cash contributions under LIS special regime: minimum shareholding and valid economic reasons

A taxpayer asks whether transferring shares from several companies to a new holding company can qualify for the LIS special regime. The DGT confirms it is possible if minimum shareholding and uninterrupted ownership requirements are met, and the transaction serves valid economic purposes rather than purely fiscal ones.

The question raised

1) Whether the described transaction can qualify for the special tax regime under Chapter VII of Title VII of Corporate Income Tax Law 27/2014, of November 27.

The DGT's ruling

To apply the special regime for non-monetary contributions, the holdings must represent at least 5% of the entity's equity and must have been held uninterruptedly during the previous year. Following the contribution, the contributor must maintain a holding of at least 5% in the equity of the receiving entity. The transaction must not have the primary objective of tax fraud or evasion, and must be based on valid economic reasons such as the restructuring or rationalization of activities. If the primary purpose is the subsequent transfer of the holdings, the transaction may fail to meet the requirement of valid economic reasons.

Book your free first meeting