Skip to content
Back to index
V1282-18 17 May 2018 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
ISD · sustitución hereditaria

Substitution of heirs does not apply if the heir dies after the testator without repudiating the inheritance

A query was raised regarding whether a substitution clause in a will is triggered when the primary heir dies after the testator. The DGT has determined that no substitution occurs; instead, there is a transmission of inheritance rights to the heirs of the deceased.

The question raised

Taxation of the transaction in Inheritance and Gift Tax and in Personal Income Tax.

The DGT's ruling

The substitution of Article 774 of the Civil Code does not occur if pre-mortem death, repudiation, or incapacity of the first heir is not met. If the heir dies after the decedent without having accepted or repudiated the inheritance, their rights pass to their own heirs pursuant to Article 1,006 of the Civil Code. In this case, it is not possible to partially renounce the inherited rights of a decedent to benefit others.

Book your free first meeting