7,2,3,9. Income from life insurance, deposits and financial contracts that implement long-term savings plans

1. Positive capital gains

   Positive returns on personal capital from life insurance, deposits and financial contracts through which Long-Term Savings Plans are implemented will be exempt provided that the taxpayer does not make any withdrawal of the capital resulting from the Plan before the end of the 5-year period from its opening.

   If before the end of the 5-year period any disposition of the resulting capital occurs or the limit on annual contributions is breached, the taxpayer will be obliged to integrate the income generated during the validity of the Plan into the tax period in which such breach occurs.

   In these cases, the credit institution or insurance company with which the taxpayer has contracted the long-term savings plan will be obliged to make a withholding or payment on account.

2. Negative capital gains

   Any negative capital gains that may be obtained during the term of the Long-Term Savings Plan, including any that may be obtained upon termination of the Plan, will be imputed to the tax period in which said termination occurs and only in the part of the total amount of said negative gains that exceeds the sum of the gains from the same Plan to which the exemption would have been applied.

   The amount resulting from applying the rules set out above will be recorded.

3. The withholdings made will be transferred by the program to box 0597 of the declaration.