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V1703-19 9 July 2019 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · donación

Receipt of a cash donation is not subject to Personal Income Tax for the recipient

A taxpayer inquired about the tax implications of receiving a cash donation from their mother. The Directorate General for Taxes (DGT) clarified that the donation is not subject to Personal Income Tax (IRPF) for the recipient, as it is taxed under Inheritance and Gift Tax.

The question raised

Taxation under Personal Income Tax.

The DGT's ruling

The acquisition of money through donation is not subject to Personal Income Tax pursuant to Article 6.4 of the LIRPF. For the donor, the donation of money does not generate any capital gain or loss. The transaction is subject to Inheritance and Gift Tax.

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