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Practical Income Manual 2021.

Transitional scheme

Regulations: Transitional provision eighth Law Personal Income Tax

Participations and shares acquired before January 1, 1999

For the purposes of calculating the excess net asset value, the net asset value as of January 1, 1999, with respect to the units and shares held by the taxpayer in said year, will be taken as the acquisition value. The difference between said value and the effective acquisition value will not be taken as the acquisition value for the purposes of determining the income derived from the transfer or redemption of the shares or participations.

Profits obtained before January 1, 1999

Dividends and shares in profits distributed by collective investment institutions, which come from profits obtained prior to January 1, 1999, will be integrated into the tax base of the partners or participants thereof. For these purposes, it will be understood that the first distributed reserves have been provided with the first profits earned.


Since March 1998, Mr. SMG has held a stake in a collective investment institution, established in a country legally classified as a non-cooperative jurisdiction, whose acquisition value was the equivalent of 12,020 euros.

The net asset value of said participation as of 12-31-2021 is 31,800 euros.

Determine the income attributable to fiscal year 2021, knowing that the net asset value of the participation as of 01-01-1999 amounted to the equivalent of 12,500 euros and that the income imputed in the years 1999 to 2020 amounted to 16,200 euros.


Imputation of income corresponding to fiscal year 2021:

  • Net asset value as of 12-31-2021: 31,800
  • Acquisition value at 01-01-2021: 28,700 (1)
  • Attributable income (31,800 - 28,700) = 3,100

Note to example:

(1) The determination of the acquisition value at the beginning of the tax period is carried out based on the net asset value as of 01-01-1999 (12,500 euros) and adding to said amount the income allocations made in the years 1999 to 2020 (16,200). So that: 12,500 + 16,200 = 28,700. (Back)