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V2530-15 2 September 2015 · SG de Fiscalidad Internacional Criterion in force
IRPF · ganancias de capital

US share sales tax depends on resident's shareholding

A Spanish resident asks how to tax and avoid double taxation on the sale of shares in a US company. The DGT explains that taxation depends on whether the seller holds at least 25% of the company's capital.

The question raised

The taxpayer requests information regarding the method of taxation and the deduction for double taxation.

The DGT's ruling

If the resident holds at least 25% of the capital of the US company in the twelve months prior to the sale, the US may also tax the gain. In that case, Spain must eliminate double taxation in accordance with the Convention. If the holding is less than 25%, the gain may only be subject to taxation in Spain.

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