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V1521-22 27 June 2022 · SG de Tributos Criterion in force
IVA · herencia yacente

Entity formed by widow and dormant estate must apply for NIF to lease commercial premises

A query was raised regarding whether the entity resulting from the death of a co-owner must apply for a NIF to lease premises. The DGT ruled that, as a joint ownership exists between the widow and the dormant estate over the usufruct, said entity is the taxable person for VAT purposes and must obtain a NIF.

The question raised

Whether the entity arising after the death of the co-owner regarding commercial premises intended for lease has the obligation to request the assignment of a Tax Identification Number from the Tax Agency.

The DGT's ruling

The status of entrepreneur or professional for VAT purposes is held by usufructuaries due to their right to lease. If the usufruct belongs pro indiviso to the widow and the undistributed estate, this entity composed of both is the taxable person for the tax. Therefore, said entity must apply for a NIF as a lessor prior to the acceptance of the inheritance. If, following acceptance, the widow were the sole holder of the usufruct, she would be the sole taxable person.

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