4,2,8,2. Value of exempt holdings

If the entire equity of the entity is affected by the economic activity carried out, the value of the investments will be exempt in their entirety.

However, if there are assets and rights that are not affected by the activity in the company's assets, the exemption it will only reach the value of the shares in the part corresponding to the proportion between the assets affected less in the amount of the debts derived from the activity, and the total value of the entity's net assets.

The following formula can be used to make this determination:

Value of investments * [(Value of assets affected by debt)/Net equity value]

The following details must be taken into account when applying the formula correctly:

1. Valuation of the investments

   The value of the investments, with or without share price in organised markets, will be determined in accordance with the rules established in article 16.uno of the wealth Tax Act, referring to "Shares and holdings in the share capital or equity of other non-traded legal entities in organised markets and holdings in the capital of cooperatives, "commented in section G4. G4

2. Valuation of assets and debts

   Both the value of the assets and the value of the bank's debts will be that which is deducted from the accounting records, provided that this faithfully reflects the true equity situation of the company, and these values are determined, in the absence of accounting, in accordance with the criteria of Wealth Tax.

3. Equity elements

   To determine whether or not an asset is affected by an economic activity, the provisions of article 29 of the Personal Income Tax Act will be complied with.