Skip to content
Back to index
V2920-23 31 October 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · exención por reinversión

Reinvestment exemption cannot be applied if the sold property was not the primary residence in the two years prior to sale

The taxpayer asks whether a property they resided in until 2010, which is currently rented out, can be considered a primary residence to qualify for the reinvestment exemption. The DGT rules that it cannot, as it was neither their primary residence at the time of sale nor during the two preceding years.

The question raised

Whether the property intended for transfer is considered a habitual residence for the purposes of the reinvestment exemption.

The DGT's ruling

For the reinvestment exemption, the transferred property must be the habitual residence at the time of the transfer or have been so on any day during the two preceding years. A habitual residence is the building that constitutes the residence for a continuous period of at least three years, except in justified exceptional circumstances. In this case, as residence in the property ceased in 2010, the requirements for the exemption are not met.

Book your free first meeting