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V2386-14 11 September 2014 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
ISD · usufructo vitalicio

Usufruct does not expire for tax purposes due to lack of certificate of life if the right remains in force

A query was raised regarding whether life usufruct is considered extinguished for tax purposes if the certificate of life required by a repealed regulation is not presented. The DGT ruled that usufruct only expires when its legal extinction actually occurs.

The question raised

Whether it is appropriate to consider that, for tax purposes, the life usufruct of the applicant's father has been extinguished, and if so, whether the consolidation of ownership in the bare owners would be time-barred when it occurs.

The DGT's ruling

Upon the entry into force of Law 29/1987, Decree 1018/1967 was repealed to the extent that it contradicts the new law, which does not provide for extinction due to lack of proof of life. Therefore, the usufruct is not considered fiscally extinguished until its actual extinction occurs pursuant to the Civil Code. As extinction has not occurred, the consolidation of ownership cannot be time-barred.

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