Skip to content
Back to index
V2598-24 17 December 2024 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
ISD · donación mortis causa

Mortis causa donations with immediate delivery are taxed as inheritances but do not qualify for the Art. 20.2.c reduction

A query was raised regarding whether a mortis causa donation involving the immediate transfer of assets can benefit from inheritance tax rates and reductions. The DGT ruled that these are taxed as mortis causa acquisitions, with tax accrual occurring at the time of signing. However, the reduction under Article 20.2.c of the LISD is not applicable because the deceased has not yet passed away.

The question raised

Subjecting a "mortis causa" donation with the delivery of present assets to being treated as a "mortis causa" acquisition in Inheritance and Gift Tax, with the application of the tax scale for this modality and its reductions. The moment at which the accrual of this operation occurs.

The DGT's ruling

A mortis causa donation is a succession title and not an inter vivos transaction, therefore the rules governing acquisitions by reason of death apply. In present succession pacts, the tax accrues on the day the contract is executed. However, the reduction provided in Article 20.2.c of the LISD cannot be applied to these present pacts because it is an indispensable requirement that the decedent be a deceased person.

Book your free first meeting