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V2250-23 27 July 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · ganancias y pérdidas patrimoniales

Litigation costs to resolve investment contracts cannot be added to acquisition value

The consultant asks whether litigation costs to recover investments in a company in insolvency can be considered part of the acquisition value. The DGT responds that they cannot, as these costs are not inherent to the acquisition and are instead classified as consumption income.

The question raised

Question posed: Having lost a litigation against the company for the recovery of investments in the past, the question is whether the expenses of said litigation can be considered an increase in the acquisition value of the investment made.

The DGT's ruling

Expenses intended to annul or resolve investment contracts are not inherent to the acquisition of said investments. As these are expenses that constitute consumption income without impact on the tax assessment, they cannot form part of the acquisition value, neither for a future transfer nor for quantifying capital losses due to unrecoverable credits. Capital losses from uncollected credits are only imputed when the circumstances of letter k) of Article 14.2 of the Personal Income Tax Law concur.

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