Doctrine by topic · DGT Observatory

Alteration of the Composition of Assets: DGT doctrinal evolution

How the DGT's position on this topic has evolved, and the rulings it rests on.

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How the DGT's position has evolved

Settled doctrine High confidence 10 rulings · 2014–2025

Current position

The receipt of amounts through settlement agreements or the waiver of actions and claims constitutes a capital gain as it results in an alteration in the composition of assets. Since it does not derive from a transfer of assets, the amount is quantified by the total received without reductions. These amounts must be included in the general tax base as they are considered general income.

The DGT maintains a consistent stance on the necessity of an alteration in the composition of assets for a gain or loss to exist. A clear distinction is observed between cases that alter assets, such as the payment of legal costs (V1347-14) or the waiver of rights (V1526-24), and those that do not, such as damage to real estate (V1263-19) or the termination of a participation regime (V1028-19). The most recent rulings (V2451-25 and V2463-25) consolidate that the waiver of actions is a capital gain taxed in the general base.

Turning points

  1. V1263-19

    Clarifies that damage to real estate is not a capital loss because the assets continue to exist, even if their value is lower.

  2. V2451-25

    Establishes that the waiver of actions through a settlement agreement is a capital gain quantifiable by the total amount received and subject to the general tax base.

Analysis based on 10 of 10 rulings with a stated position. Updated 28 September 2026.

Rulings on this topic

10
V2451-25 11 Dec 2025

Transactional settlement indemnities taxed as integrated patrimonial gain

SG de Impuestos sobre la Renta de las Personas Físicas
ganancia patrimonialacuerdo transaccionalbase imponible generalindemnizaciónalteración de la composición del patrimonio LIRPF — Ley 35/2006 del IRPF art. 33.1LIRPF — Ley 35/2006 del IRPF art. 34.1.b
Affects CompanyExpat · Non-residentIndividual
V0476-25 25 Mar 2025

Property loss compensation taxed as capital gain

SG de Impuestos sobre la Renta de las Personas Físicas
ganancia patrimonialpérdida de valor patrimonialindemnizacióntransmisión de bienesalteración de la composición del patrimonio LIRPF — Ley 35/2006 del IRPF art. 33.1LGT — Ley 58/2003 General Tributaria art. 89.1
Affects CompanyExpat · Non-residentIndividual
V0243-24 29 Feb 2024

Loan cancellation via payment protection insurance is subject to capital gains tax

SG de Tributación de las Operaciones Financieras
ganancia patrimonialseguro de protección de pagosincapacidad permanente absolutacancelación de deudaalteración de la composición del patrimonio LIRPF — Ley 35/2006 del IRPF art. 33.1LGT — Ley 58/2003 General Tributaria art. 89.1
Affects CompanyExpat · Non-residentIndividual
V1263-19 4 Jun 2019

Property damage and legal or expert fees cannot be deducted as capital losses

SG de Impuestos sobre la Renta de las Personas Físicas
ganancias y pérdidas patrimonialesdaños materialeshonorarios profesionalesrenta al consumoalteración de la composición del patrimonio LIRPF — Ley 35/2006 del IRPF art. 7.qLIRPF — Ley 35/2006 del IRPF art. 31.1
Affects CompanyExpat · Non-residentIndividual
V1028-19 10 May 2019

Settlement of the participation regime does not generate capital gains or losses

SG de Impuestos sobre la Renta de las Personas Físicas
régimen de participaciónganancias patrimonialesliquidación del régimen económico matrimonialvalor de mercadoalteración de la composición del patrimonio LIRPF — Ley 35/2006 del IRPF art. 33.1LIRPF — Ley 35/2006 del IRPF art. 33.2
Affects CompanyExpat · Non-residentIndividual
V1347-14 20 May 2014

Payment of legal costs following a court ruling may be considered a capital loss

SG de Impuestos sobre la Renta de las Personas Físicas
ganancias y pérdidas patrimonialescostas procesalesvariación patrimonialrenta al consumoalteración de la composición del patrimonio LIRPF — Ley 35/2006 del IRPF art. 33.1LIRPF — Ley 35/2006 del IRPF art. 33.5
Affects CompanyExpat · Non-residentIndividual

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