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V1796-14 9 July 2014 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · consolidación fiscal

Deductibility of impairment of holdings from previous years following a capital contribution

The taxpayer asks whether it is possible to deduct impairment losses on holdings from 2008 and 2009 in the 2010 tax year following a capital contribution, while under a tax consolidation regime. The DGT rules that such an amount is deductible and that, if it was erroneously eliminated during consolidation, the tax return may be rectified.

The question raised

Whether, in the transfer of the holding in company A as a consequence of its absorption, it is possible to incorporate the elimination carried out in the 2010 fiscal year corresponding to the value correction of the subsidiary company A generated in the 2008 and 2009 fiscal years, subject to the limits of Article 73.3 of the consolidated text of the Corporate Income Tax Law.

The DGT's ruling

The amount corresponding to the fiscal year following a contribution to equity is deductible, provided that the previous impairment was limited by the cost of the holding. If the entity and the subsidiary were taxed under the general regime when the losses were generated, the deductibility must not be eliminated upon applying the tax consolidation regime. In the event that the negative adjustment was eliminated in the group's tax return, the entity may request the rectification of its tax self-assessment. In the event of a transfer of the holding, the income to be integrated must take into account the adjustments that should have been made pursuant to Article 12.3 of the TRLIS.

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