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V3282-23 21 December 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · reducción de capital

Excess amounts in a capital reduction may be taxed as income from movable capital

A shareholder has requested clarification on the tax treatment of amounts received following a capital reduction through the reduction of the nominal value of their shares. The DGT explains that the treatment depends on whether the repayment stems from undistributed profits or from capital contributions.

The question raised

Tax treatment in the Personal Income Tax (IRPF) of the taxpayer regarding the amount received as a consequence of said capital reduction.

The DGT's ruling

If the return of contributions does not derive from undistributed profits, the amount reduces the acquisition value of the shares until their cancellation; the excess is taxed as income from movable capital. If the return corresponds to undistributed profits, the entirety of the amounts received is taxed as income from movable capital. In the case of securities not admitted to trading, there is a limit for the income from movable capital based on the difference between the value of equity and the acquisition value.

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