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V3261-20 30 October 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · arras penitenciales

Loss of penitential deposits is included as general income in the year of withdrawal

A query was raised regarding the tax treatment of withdrawing from a sale by paying an agreed amount. The DGT ruled that the loss of deposits constitutes a capital loss that must be included in the general tax base.

The question raised

Taxation is consulted in the event that the sale is not rescinded and the effects of such taxation in the event that a postponement of the sale is agreed upon.

The DGT's ruling

The loss of earnest money or deposit is considered a variation in the value of assets that does not derive from the transfer of an asset. This loss of assets must be included in the taxpayer's general taxable base. The change in assets occurs at the moment the withdrawal takes place as established in the contract. If the sale is not rescinded nor is the agreed amount paid, there are no tax effects.

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