Capital gains and losses

• Division of jointly owned property among co-owners (without excess allocation)
• Dissolution of the marital community of property or termination of the participation regime
• Dissolution of jointly owned assets or separation of co-owners
• Termination of the separation of property matrimonial regime by legal imposition or court order
• Transfers on death ("mortis causa donation" or succession pacts)

If in the dissolution of jointly owned assets a co-owner receives more than their share (excess allocation) and that difference has a positive value, a capital gain does arise for the person receiving the excess.

ℹ️ Are you over 65? A dedicated guide covers pensions, home-sale exemption, reinvestment in life annuities (€240,000), reverse mortgage and age-increased minimums: IRPF manual for taxpayers over 65.

Gains from the transfer of the main home are fully exempt when the taxpayer is over 65 or is in a situation of severe or major dependency.

Gains from the transfer of the taxpayer's main home are exempt, provided the full amount obtained from the transfer is reinvested in the acquisition of a new main home within the following time limits:

• 2 years before or after the transfer
• If the price is deferred, reinvestment may be made progressively as the instalments are received

If only part is reinvested, only that proportional part is exempt.

The exemption does not apply when the property transferred does not represent full ownership (for example, if only the bare ownership or usufruct is transferred).

Gains from the transfer of any asset (not just housing) are exempt if the amount is used to set up an insured life annuity, provided:

• The taxpayer is over 65
• The annuity is set up within a maximum period of 6 months
• The maximum amount of the life annuity to which the exemption applies is €240,000 (cumulative over the taxpayer's lifetime)

Exempt to the amount legally or judicially recognised.

SELAE, Red Cross and ONCE prizes are exempt up to €40,000 per ticket, coupon or bet. The excess is taxable at a special 20% rate.

Gains arising from the donation of assets to non-profit entities covered by Law 49/2002 are exempt for the donor.

The capital gain arising from handing over the main home in lieu of payment to cancel mortgage-secured debts is exempt, when the debtor does not have other sufficient assets or rights to satisfy the full debt.

Net transfer value

• (+) Transfer value — actual price received, or market value if higher
• (−) Transfer expenses and taxes — IIVTNU, notary, land registry, agency, etc.
• = Net transfer value

Net acquisition value

• (+) Acquisition price — or value declared for Inheritance and Gift Tax
• (+) Acquisition expenses and taxes — notary, land registry, ITP/AJD, VAT, etc.
• (+) Investments and improvements made to the asset
• (−) Fiscally deductible depreciation — real estate that has generated income
• = Net acquisition value

Gain or loss = Net transfer value − Net acquisition value

• Recipient: the acquisition value is the amount declared for Inheritance and Gift Tax, up to market value.
• Donor: a capital gain or loss arises from the difference between the market value of the donated asset and its acquisition value, unless exempted.

The transfer value may not be less than the greater of:

• The value of the equity according to the last balance sheet closed before the Personal Income Tax accrual date
• The result of capitalising at 20% the average of profits for the last three tax years

Cryptocurrencies are treated as intangible assets for tax purposes. They generate a capital gain or loss when:

• Sold in exchange for euros or other legal tender
• Exchanged for a different cryptocurrency (barter transaction, taxable at that point)

The gain is calculated as the difference between the transfer value (euros received or market value) and the acquisition value in euros. The identification criterion is also FIFO.

Cryptocurrency gains and losses are savings income (included in the savings taxable base).

• The acquisition value includes the purchase price, inherent expenses and taxes (ITP/AJD, notary, land registry, agency fees) and investments in improvements.
• Depreciation is deducted if the property was rented (3% per year on the greater of the construction cost or the cadastral value of the construction, with the minimum of depreciation actually deducted).
• The transfer value may not be less than the cadastral reference value for ITP/AJD purposes.

The transfer value is the greater of:

• Nominal value of the shares or interests received (plus issue premium)
• Listed value of the securities received
• Market value of the asset or right contributed

• Instalment or deferred payment transactions: you may opt to attribute proportionally as the instalments are received.
• Public aid: attributed in the year of receipt.
• Losses from bad debts: attributed when insolvency is established (insolvency proceedings, or more than one year since the default if conditions are met).

• Savings losses first offset savings gains from the same year.
• The negative balance may be offset against the positive balance of investment income up to 25% of that positive balance.
• The remaining negative balance may be carried forward to the 4 following tax years.

If you lose your taxpayer status by transferring your habitual residence abroad and hold shares or interests with a market value exceeding €4,000,000 (or with a shareholding exceeding 25% in entities with a market value over €1,000,000), you must pay tax on the "latent" gain even though you have not sold.

You may request a deferral of payment if the relocation is for employment reasons or is temporary.

A married couple aged 70 and 68 sell their main home in 2025 for €250,000. They acquired it in 1980 for €60,000 (including expenses). Since both are over 65, the capital gain is fully exempt, regardless of whether or not they reinvest the amount.

If you hold units in a fund and transfer them to another without receiving any money, you are not taxed at that point. The new units retain the seniority and acquisition value of the original ones, so taxation is deferred until the final redemption.