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V2910-17 13 November 2017 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
ITPAJD · transmisiones patrimoniales onerosas

No notification required for deferred loan repayment deadlines

A taxpayer inquired whether they must notify the Tax Administration regarding the deferral of a repayment schedule for an interest-free loan established via a private contract. The Directorate-General for Taxes (DGT) ruled that such an operation does not constitute a taxable event.

The question raised

Whether such deferral must be notified to the Tax Administration.

The DGT's ruling

The deferral of a repayment installment of a loan does not constitute a taxable event for Transfer Tax (ITP) as it is neither a transfer of goods or rights nor the creation of a loan. It is also not subject to Stamp Duty (AJD) in its variable quota, as it is a private document and not an act registrable in the registries mentioned in the law.

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