Skip to content
Back to index
V1977-25 20 October 2025 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · condena en costas

Cost court fines can be treated as a patrimonial loss in IRPF

The consultant asks whether payment of court costs fines following a judicial procedure can be considered a patrimonial loss. The DGT confirms that yes, as such payment acts as compensation to the winning party and represents a negative variation in patrimony.

The question raised

Possible consideration as a capital loss in Personal Income Tax (IRPF).

The DGT's ruling

The award of legal costs is considered compensation to the prevailing party for the defense expenses incurred. For the taxpayer ordered to pay, this payment has the tax implications of a capital loss. As it does not derive from a transfer of assets, it must be included in the general tax base of the tax.

Book your free first meeting