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V1157-22 26 May 2022 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · comunidad de bienes

Capital gains from the sale of a garage are attributed to the period in which the actual transfer occurs

A taxpayer asks when they must pay tax on the purchase of a garage space in 1980 that was not formalised via public deed. The DGT explains that the transfer is determined by the delivery of the asset or the contract, and that the income is classified as a capital gain attributed by the community of property.

The question raised

Taxation under Personal Income Tax regarding the capital gain derived from the transfer of the parking space carried out by the Homeowners' Association in the year 1980

The DGT's ruling

Homeowners' associations act as communities of property, attributing income to their members in accordance with the Personal Income Tax Law. The gain derived from the sale of real estate is a capital gain. The timing of the transfer is determined by the delivery of the asset or the existence of a sales contract that proves both the asset and the price. The statute of limitations is calculated from the end of the deadline for filing the tax return for the period in which the transfer occurred.

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