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V5090-16 24 November 2016 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
IP · exención

Lack of economic activity in subsidiary prevents parent company from Wealth Tax exemption

A Spanish company owning 100% of a Portuguese real estate leasing subsidiary has requested clarification on whether it can apply for Wealth Tax exemptions and reductions in Inheritance Tax. The Directorate General for Taxes (DGT) ruled that, as the subsidiary has no employees, it does not carry out an economic activity, meaning the shareholding cannot be excluded from the calculation of assets.

The question raised

Cuestión planteada Cómputo de la participación en la sociedad filial a efectos de la exención en el Impuesto sobre el Patrimonio de las participaciones en la matriz española. En su caso, aplicabilidad de la reducción prevista en el artículo 20.2.c) de la Ley del Impuesto sobre Sucesiones y Donaciones.

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