Doctrine by topic · DGT Observatory

Retention of Title: 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 · 2015–2024

Current position

Assignments with retention of title are considered supplies of goods subject to IVA (Value Added Tax). In the scope of IRPF (Personal Income Tax) and Wealth Tax, the acquirer counts the amounts paid as a right and has no obligation to report the property on Form 720 until they acquire ownership under common law. If possession is not transferred, the income is not accrued upon formalization, but rather when the full agreed price is paid.

The DGT's position remains stable regarding the nature of the transaction as a supply subject to IVA. The evolution is observed in the technical precision regarding the timing of income accrual and the classification of amounts received, which are not considered income but rather a liability until full payment is made if possession is not transferred.

Turning points

  1. V2525-21

    Clarifies that assignments with a retention of title clause are supplies of goods subject to IVA and establishes that the resolution of a previous transfer does not affect the classification of the current supply.

  2. V1902-24

    Specifies that if possession is not transferred, the income is not accrued upon formalization but upon full payment of the price, and previous amounts must be considered a liability.

Analysis based on 7 of 8 rulings with a stated position. Updated 1 October 2026.

Rulings on this topic

8
V0460-24 19 Mar 2024

Deliberations on declaring construction property payments in wealth tax

SG de Impuestos Patrimoniales, Tasas y Precios Públicos
reserva de dominioentregas a cuentapatrimonio netomodelo 720devengo LIP — Ley 19/1991 del Impuesto sobre el Patrimonio art. 1LIP — Ley 19/1991 del Impuesto sobre el Patrimonio art. 3
Affects CompanyExpat · Non-residentIndividual
V3111-15 16 Oct 2015

Credit from instalment sales of shares must be included in Wealth Tax

SG de Impuestos Patrimoniales, Tasas y Precios Públicos
reserva de dominioimputación temporaldevengocréditocuota tributaria LIP — Ley 19/1991 del Impuesto sobre el Patrimonio art. 8.UnoLIP — Ley 19/1991 del Impuesto sobre el Patrimonio art. 25.Uno
Affects CompanyExpat · Non-residentIndividual

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