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V3194-20 26 October 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · subvención de capital

Grants for financing fixed assets are recognised as income in line with investment depreciation

The tax treatment of a grant for self-employed individuals intended for the purchase of a computer was consulted. The DGT determines that, as it finances fixed assets, it is a capital grant and must be recognised as income in the same proportion as the asset is depreciated.

The question raised

Tax treatment of the subsidy in Personal Income Tax.

The DGT's ruling

Subsidies intended to encourage investment in fixed assets are considered capital subsidies. Their allocation to results must be carried out to the same extent as the depreciation of the investments or expenses made. If the assets are not subject to depreciation, the subsidy shall be allocated in full in the fiscal year of their disposal or removal from inventory.

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