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V2017-20 19 June 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · ganancia patrimonial

Subsequent annulment of a share sale does not prevent capital gains or losses

A taxpayer sold company shares via a public deed and subsequently annulled the transaction due to the buyer's disqualification. The DGT ruled that the transfer of ownership occurred during the original sale, meaning the transaction remains subject to tax.

The question raised

Tax treatment of said operation under Personal Income Tax.

The DGT's ruling

The transfer of ownership occurs through delivery, and in sales via public deed, the execution of said deed is equivalent to the delivery of the asset. Upon the perfection of the sale with effects transferring ownership, an alteration in the assets and liabilities occurs, generating a capital gain or loss pursuant to Article 33 of the Personal Income Tax Law. This tax effect remains regardless of whether a subsequent acquisition of the same shares takes place.

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