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V2031-20 19 June 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · acciones totalmente liberadas

Fully paid-up bonus shares are non-taxable and compensation for unexercised rights constitutes income from movable capital

A shareholder in an unlisted company received fully paid-up bonus shares following a capital increase, along with cash compensation for unexercised allocation rights. The DGT has ruled that the shares do not generate taxable income and that the cash payment is classified as income from movable capital.

The question raised

Effects of such operation on the taxpayer's Personal Income Tax.

The DGT's ruling

The delivery of fully paid-up bonus shares does not entail the receipt of income. For future transfers, the acquisition value shall be the total cost divided by the number of securities (original and bonus shares) and their holding period shall be that of the original shares. The economic compensation for unexercised and untransferred rights to free allotment is considered income from movable capital, pursuant to Article 25.1.a) of the Personal Income Tax Law.

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