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V1176-18 9 May 2018 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IVA · ganancias patrimoniales

Sale of private stamp and coin collection not subject to VAT or classified as economic activity

A collector inquired whether the sale of a personal collection of stamps, coins, and postcards should be taxed as an economic activity. The DGT ruled that, as these are private assets not used for business purposes, the transaction is not subject to VAT and instead generates capital gains or losses for Income Tax purposes.

The question raised

Consideration of the existence of an economic activity, for VAT and Personal Income Tax purposes, regarding the sale of collection items.

The DGT's ruling

The transfer of assets that form part of personal wealth and are not used for the conduct of a business or professional activity is not subject to VAT. For Personal Income Tax purposes, as they do not originate from an economic activity, the sale of these movable assets will result in capital gains or losses based on the difference between their acquisition and transfer values.

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