Exemption

Regulations: Art. 38. 2 and Additional Provision thirty-eighth Law IRPF ; art. 41 Regulation

The capital gain that is revealed on the occasion of the transfer of shares or participations for which the deduction for investment in newly or recently created companies provided for in article 68.1 of the Personal Income Tax Law has been applied is declared exempt.

You will only be entitled to the exemption when the amount obtained from the aforementioned transfer is reinvested in the acquisition of shares or participations in another newly or recently created entity that meets the requirements and conditions set forth in numbers 2, 3 and 5 of article 68.1 of the Personal Income Tax Law (requirements on the entity in which the investment is made, with respect to the shares and participations acquired and formal requirements) which are discussed in section " Deduction for investment in newly or recently created companies " of Chapter 16, to which we refer.