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V1399-24 12 June 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · ganancia patrimonial

Grants for domestic solar panel installation classified as capital gains

A taxpayer inquired whether a grant received for the installation of photovoltaic panels on their home was subject to Personal Income Tax (IRPF). The Directorate General for Taxes (DGT) ruled that, as it is not part of an economic activity, the aid constitutes a capital gain.

The question raised

Taxation of the aforementioned subsidy.

The DGT's ruling

The receipt of the subsidy constitutes a capital gain as it represents a variation in the value of the assets due to the incorporation of money. This gain is neither exempt nor not subject to tax under the tax regulations. The amount shall be the monetary value of the subsidy and shall be included in the general income. It must be attributed to the tax period in which the collection occurs.

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