8. Loss of the right to exemption for reinvestment in annuities

Regulations: Art. 42.5 Regulation Personal Income Tax

Failure to comply with any of the conditions established for the application of the exemption for reinvestment in annuities, or the anticipation, in whole or in part, of the economic rights derived from the annuity created, will determine the subjection to taxation of the corresponding capital gain.

In such case, the taxpayer will allocate the non-exempt capital gain to the year of obtaining it, performing complementary self-assessment and it will be presented within the period between the date on which the non-compliance occurs and the end of the regulatory declaration period corresponding to the tax period. in which said breach occurs.

Said self-assessment will generate late payment interest which, if applicable, will be settled by the Administration.

Note: If the complementary declaration responds to this circumstance, the taxpayer must mark with an "X" the box [118] of the "Complementary declaration" section of the declaration.