Doctrine by topic · DGT Observatory

Disposal of Shares: 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 8 rulings · 2014–2025

Current position

To maintain the reduction under article 20.2.c) of the LIS (Corporate Income Tax Law) following the disposal of shares, the immediate reinvestment and materialization of the amount obtained in other assets is required. The requirement does not demand continuity of the activity, but rather the maintenance of the acquisition value upon which the reduction was applied. Reinvestment may be carried out in real estate, shares, investment funds, deposits, or any other financial product.

The DGT's position remains constant regarding the requirements for the reduction due to the disposal of shares. Rulings confirm that the key is immediate reinvestment to maintain the acquisition value, without the need for continuity of the economic activity. No changes in the interpretation of this provision have been observed between 2017 and 2025.

Turning points

  1. V2763-17

    Specifies that materialization in investment funds or real estate is valid as long as the sum reaches the value for which the reduction was applied.

Analysis based on 7 of 8 rulings with a stated position. Updated 30 September 2026.

Rulings on this topic

8
V1579-25 8 Sept 2025

Reduction of inheritance tax can be maintained by reinvesting proceeds

SG de Impuestos Patrimoniales, Tasas y Precios Públicos
reducción en la base imponibleadquisición mortis causamantenimiento de valorreinversión de activosenajenación de participaciones LISD — Ley 29/1987 de Sucesiones y Donaciones art. 20.2.cLGT — Ley 58/2003 General Tributaria art. 89.1
Affects CompanyExpat · Non-residentIndividual
V0237-21 10 Feb 2021

No deduction for international double taxation on Italian advance payment

SG de Fiscalidad Internacional
doble imposición internacionalganancia patrimonialpotestad de gravamenresidencia fiscalenajenación de participaciones Convenio entre España e Italia para evitar la doble imposiciónLGT — Ley 58/2003 General Tributaria art. 89.1
Affects CompanyExpat · Non-residentIndividual
V2763-17 27 Oct 2017

Inherited shares with family business relief can be sold if proceeds are reinvested

SG de Impuestos Patrimoniales, Tasas y Precios Públicos
reducción por empresa familiarmantenimiento de valorenajenación de participacionesreinversiónactas dispositivos LISD — Ley 29/1987 de Sucesiones y Donaciones art. 20.2.cLGT — Ley 58/2003 General Tributaria art. 89.1
Affects CompanyExpat · Non-residentIndividual
V1240-17 19 May 2017

Proceeds from the sale of shares are not excluded from Wealth Tax exemptions

SG de Impuestos Patrimoniales, Tasas y Precios Públicos
exenciónactividad económicaenajenación de participacionessicavafectación LIP — Ley 19/1991 del Impuesto sobre el Patrimonio art. 4.Ocho.DosLGT — Ley 58/2003 General Tributaria art. 14
Affects CompanyExpat · Non-residentIndividual
V1025-14 10 Apr 2014

Inheritance Tax reduction maintained if Wealth Tax exemption is preserved

SG de Impuestos Patrimoniales, Tasas y Precios Públicos
reducción en la base imponiblenuda propiedadexención en el impuesto sobre el patrimoniofunciones de direcciónenajenación de participaciones LISD — Ley 29/1987 de Sucesiones y Donaciones art. 20.6LIP — Ley 19/1991 del Impuesto sobre el Patrimonio art. 4.Ocho.Dos
Affects CompanyExpat · Non-residentIndividual

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