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V2656-16 14 June 2016 · SG de Tributos Criterion in force
OTRO · responsabilidad solidaria

Joint liability through succession in business activity depends on a collective assessment of the facts

A taxpayer asks whether they will be liable for the tax debts of a previous tenant after leasing a premises for a bar. The DGT explains that joint liability requires a succession in the ownership or exercise of the economic activity.

The question raised

Joint and several liability by succession in the activity.

The DGT's ruling

To determine joint and several liability by succession, the circumstances of each case must be analyzed both individually and collectively. The existence of succession is a question of fact that requires the assessment of elements that allow for the continuity of the business, such as the assumption of significant material or personal elements. A legal title of transfer is not necessary if a succession in fact or the acquisition of isolated elements allowing for the continuity of the activity is observed. The Administration must verify these facts through a comprehensive assessment of the evidence.

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