Consumption of parking use rights prevents capital loss deduction

The Directorate General of Taxes (DGT) has issued a relevant ruling regarding the tax treatment of the transfer of parking space use rights, especially those derived from administrative concessions. The central issue lies in determining whether the loss generated by the passage of time can be offset in the Personal Income Tax (IRPF) return.

What the DGT has ruled

The administration has determined that the transfer of a parking use right generates a capital gain or loss based on the difference between the acquisition value and the transfer value. However, the acquisition value must be reduced proportionally according to the time elapsed from the purchase to the sale, given that the right is consumed over time.

In this sense, the DGT applies Article 33.5.b) of Law 35/2006 to establish that those losses due to the consumption of the right shall not be counted as capital losses. Therefore, the portion of the loss corresponding to the wear or use of the right during its term is not tax-deductible.

What this means for you

If you are an individual who holds a right to use a parking space through an administrative concession, you must take into account that the calculation of the capital gain or loss is not linear. The value of your asset decreases as the intended period of use is exhausted.

This implies that, at the time of transferring said right, the resulting loss due to the mere passage of time cannot be used to offset other capital gains in your income tax return, as the regulations expressly exclude losses derived from consumption.

What you should do

It is necessary to perform a precise calculation that distinguishes between the transfer value and the acquisition value adjusted for temporal consumption. Since the regulations distinguish between a real capital loss and a loss due to consumption, it is fundamental to assess each particular situation to determine the exact impact on the IRPF settlement and ensure that the applied treatment is correct according to Law 35/2006.