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V1092-15 9 April 2015 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · valor de mercado

Linked companies may carry out transactions at market value

A consulting entity asks whether it is possible to sell land to another linked company due to shared shareholders. The DGT responds that the transaction may take place without restrictions, provided it is valued at market value.

The question raised

Whether it is possible to carry out the transaction.

The DGT's ruling

Transactions between related parties, such as those carried out between companies with the same shareholders, must be valued at their market value. If the agreed value differs from the market value, the tax treatment corresponding to the nature of the resulting income shall be applied pursuant to Article 18 of the LIS. In the case of real estate transactions, the simplified content of the specific documentation does not apply.

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