Skip to content
Back to index
V2724-23 6 October 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · exención por reinversión

Reinvestment exemption applicable if new home is purchased up to two years before selling primary residence

The inquirer asks whether the reinvestment exemption for a primary residence can be applied by purchasing a new home in 2023 and selling the current one in 2024. The DGT rules that this is possible, provided the purchase is made within the two-year period preceding the sale.

The question raised

Possibility of benefiting from the exemption for reinvestment in a primary residence if the acquisition of the new property is carried out in 2023 and the disposal of the current primary residence does not occur until 2024.

The DGT's ruling

For the exemption, the reinvestment must be carried out within a period of two years, whether prior to or following the date of the disposal of the primary residence. It is not necessary for the funds obtained from the sale to be the same as those used for the previous purchase, due to the fungible nature of money. It is sufficient that the amount invested in the new residence is equivalent to or greater than the amount obtained from the transfer of the former.

Book your free first meeting