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V3544-20 11 December 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del capital

Rental income must be attributed according to legal ownership of the property

A query was raised regarding whether rental income could be attributed entirely to two sisters when their father is the majority owner. The DGT ruled that income must be attributed according to the legal ownership held by each owner.

The question raised

Taxation of the operation at the level of the sisters and the father for the purposes of Personal Income Tax.

The DGT's ruling

Returns on capital are attributed to the taxpayers who are holders of the assets in accordance with the applicable legal ownership rules. In this case, the income must be attributed according to the percentage corresponding to each of the owners of the property. This applies regardless of whether the holders gratuitously assign the income to a third party or to another of the owners.

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