Skip to content
Back to index
V2586-23 27 September 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del capital mobiliario

Interest from the transfer of own capital is ineligible for the 30% reduction based on generation period

A shareholder inquired whether interest from loans granted to their company, generated over more than two years, could benefit from the 30% reduction. The Directorate General for Taxes (DGT) ruled that this reduction does not apply to income from the transfer of own capital.

The question raised

Whether a 30% reduction may be applied to the interest received, as it is considered to be income with a generation period exceeding two years.

The DGT's ruling

The 30% reduction under Article 26.2 of the Personal Income Tax Law (LIRPF) only applies to the income provided for in Section 4 of Article 25 of said Law. Interest received from the transfer of own capital to third parties is classified as income under Section 2 of Article 25. Therefore, the reduction is not applicable to them, regardless of their period of generation or whether they are imputed in a single tax year.

Book your free first meeting