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V3106-23 28 November 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · ganancia patrimonial

Delisting of a company does not automatically trigger a capital loss for Personal Income Tax purposes

A taxpayer inquired whether the delisting of shares in a company undergoing liquidation allows for the declaration of a capital loss. The Directorate General for Taxes (DGT) ruled that the actual dissolution and liquidation of the company must take place for such a loss to be recognised.

The question raised

Whether it could reflect a capital loss in the Personal Income Tax (IRPF).

The DGT's ruling

The fact that a company ceases to be listed on an official secondary market does not automatically imply a capital loss for the shareholders. To compute a loss pursuant to Article 37.1, e) of the Personal Income Tax Law (LIRPF), the dissolution and liquidation of the company must first take place. The change in assets is considered to have occurred in the tax period in which the liquidation is carried out. Alternatively, the sale of shares prior to liquidation would also generate a gain or loss based on the difference between the acquisition and transfer values.

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