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V2942-15 7 October 2015 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · ganancia patrimonial

The sale of a dwelling acquired before 1995 allows for the application of a reduction under the ninth transitional provision

A query is made regarding the taxation of the sale of a dwelling whose ownership was consolidated following the dissolution of a co-ownership. The DGT explains that the capital gain is calculated as the difference between the transfer and acquisition values, allowing for the application of reductions for the portion of the gain generated before 2006.

The question raised

Taxation of the sale.

The DGT's ruling

The transfer generates a capital gain or loss pursuant to Article 33 of Law 35/2006. For assets acquired before December 31, 1994, the ninth transitional provision allows for a reduction on the portion of the gain generated before January 20, 2006. In this case, as the dwelling was acquired on two different dates, said reduction would only apply to 50 percent of the capital gain generated.

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