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V1508-18 4 June 2018 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · exención por reinversión

Reinvestment exemption for principal residence may apply when using community property to repay a family home mortgage

A taxpayer inquired whether the exemption for reinvestment in a principal residence could be applied when contributing proceeds from the sale of a spouse's property into the community property regime to repay the mortgage on the matrimonial home. The Directorate General of Taxes (DGT) ruled that the exemption can be applied to the reinvested amount, but only in proportion to the ownership interest the spouse acquires in the property through said repayment.

The question raised

Whether the exemption for reinvestment applies to the capital gain obtained from the transfer of their residence by contributing the amount obtained to the community property regime for the amortization of the mortgage loan of the matrimonial habitual residence.

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