Transfer of assets from personal assets to business or professional assets: affectation

Business or professional assets are made up of all those assets or rights integrated into the organizational scope of an economic activity carried out by its owner.

For its part, private assets include the rest of the assets or rights whose ownership also corresponds to the taxpayer, but which are not affected by the development of any economic activity.

Principles and rules of affectation

The principles and rules that govern the impact of property or rights are the following:

• The incorporation of an asset into economic activity from the personal assets of the taxpayer who owns it does not produce an asset alteration for tax purposes as long as the asset continues to form part of his assets.

• The equity element is incorporated into the taxpayer's accounting for the acquisition value that it had at the time of the impact .

  Said value is made up of the sum of the real amount for which the acquisition was made, the cost of the investments and improvements made in the asset element and the expenses and taxes inherent to the acquisition, excluding interest, paid by the acquirer. Said value will be reduced by the amount of tax-deductible amortization, calculating in any case the minimum amortization, regardless of its effective consideration as an expense.

  When the acquisition of the asset element had been made for profit by the owner of the activity, the previous rules will apply, although the acquisition value will be taken as the actual amount of the acquisition for the purposes of the Inheritance and Donation Tax, without may exceed the market value.

  Note: The components of acquisition value are discussed in greater detail in Chapter 11 of this Manual.

• It will be understood that there has been no impact if the asset is disposed of before 3 years have elapsed since.