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V1860-25 14 October 2025 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · exención por reinversión

Reinvestment exemption possible for primary residence

Consultants ask whether capital gains from selling a California home may be exempt if reinvested in a home in Andalusia. Hacienda confirms that, assuming fiscal residency in Spain, the exemption is available if reinvestment and primary residence requirements are met.

The question raised

They wish to know whether the capital gain obtained from the sale of the California residence in the year 2025 may qualify for the exemption due to reinvestment in a primary residence.

The DGT's ruling

In order for the gain from the transfer of the primary residence to be exempt, it is necessary to reinvest the total amount obtained in the acquisition or renovation of a new primary residence. The reinvestment must be carried out within a period of two years prior to or following the date of disposal. Likewise, the transferred residence must have been considered a primary residence at any time during the two years prior to the transfer.

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