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V3764-15 27 November 2015 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
ISD · repudiación de la herencia

In pure, simple and gratuitous renunciation of an inheritance, beneficiaries are taxed on the acquisition of assets

A query was made regarding the tax treatment when the heirs of a deceased person renounce an inheritance in a pure, simple and gratuitous manner. The DGT ruled that, in this instance, the person renouncing is not the taxable person, and the beneficiaries are taxed on the acquisition by applying a coefficient based on their pre-existing assets.

The question raised

Taxation of the consultant in the event that the renunciation occurs.

The DGT's ruling

If the renunciation is pure, simple, and gratuitous, it is equated to repudiation and only the beneficiaries of the renunciation are taxed, as the renunciant is not considered an heir or a taxable person. In this case, the beneficiary will acquire the assets of the deceased directly. The beneficiary shall be entitled to reductions in the tax base according to their degree of kinship and may apply the 95% reduction if the requirements of Law 19/1991 on holdings in entities are met.

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