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V2827-14 20 October 2014 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · ganancias y pérdidas patrimoniales

Donating shares does not generate deductible capital losses for Personal Income Tax purposes

A taxpayer intends to donate shares of a company in liquidation to her nephews. The Directorate General for Taxes (DGT) clarifies that such a donation does not allow for the recognition of capital losses and that the tax implications will depend on whether a capital gain is realised.

The question raised

Impact of the donation on Personal Income Tax (IRPF).

The DGT's ruling

Gratuitous transfers by inter vivos acts or liberalities are not computed as capital losses pursuant to Article 33.5 of Law 35/2006. In the event of a donation, the impact on Personal Income Tax (IRPF) would only occur if there were a positive variation between the acquisition value and the transfer value.

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