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V2627-20 10 August 2020 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · aportación no dineraria

Requirements for non-cash contributions and share exchange under LIS special regime

A physical person enquires whether their share contributions and share exchanges may qualify for the LIS special regime. The DGT states that this is possible if participation, tenure and voting majority requirements are met, and if the operations have valid economic motives.

The question raised

Question posed: Whether the special tax regime provided for in Chapter VII of Title VII of Law 27/2014, of November 27, on Corporate Income Tax is applicable to the projected operations and whether valid economic reasons exist.

The DGT's ruling

For non-monetary contributions, it is required that the receiving entity be a resident in Spain, that the contributor maintains at least 5% of the equity, and that the shares have been held uninterruptedly during the previous year. In the exchange of securities, the entity must acquire the majority of voting rights and comply with the residency requirements. Finally, the regime shall not apply if the primary objective is tax fraud or evasion, and valid economic reasons must be proven that are not merely the pursuit of a tax advantage.

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