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V1962-14 18 July 2014 · SG de Tributación de las Operaciones Financieras Criterion in force
IRPF · rendimientos del capital mobiliario

Amounts from accompanying mechanisms are classified as income from movable capital

A bank has requested clarification on the tax treatment of a cash payment intended for retail clients who exchanged convertible bonds under an accompanying mechanism. The Directorate General for Taxes (DGT) has ruled that such amounts constitute income from movable capital.

The question raised

Tax treatment in Personal Income Tax of the amount to be paid as a consequence of the application of the accompanying mechanism.

The DGT's ruling

The payment derived from the accompanying mechanism does not form part of the transfer value of the exchanged bonds. Pursuant to Article 25.2 of Law 35/2006, the amount to be paid is classified as income from movable capital and shall be subject to withholding tax.

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