Skip to content
Back to index
V1429-17 6 June 2017 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · ganancias y pérdidas patrimoniales

Refund of advances by a bank does not constitute a capital gain if the amount is identical to the sum paid

A taxpayer inquired about the tax treatment of funds received from a bank following legal action, after a developer failed to build the agreed property. The DGT ruled that if the bank refunds the exact amount originally paid, no capital gain or loss occurs.

The question raised

Taxation of the amount that may be received if the claim is upheld.

The DGT's ruling

If the banking entity pays the same amount as the payments made to the developer, no change in net worth nor gain or loss occurs. If the compensation is lower than the payments and extinguishes the credit right, the difference constitutes a capital loss. The analysis is based on Article 33 of Law 35/2006.

Book your free first meeting