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Practical Heritage Manual 2022.

Example: Exemption from holdings in certain entities

Mrs. VGC In fiscal year 2022, he obtained net income from work in the amount of 50,000 euros.

Likewise, he has obtained 120,000 euros in net income derived from the exercise of a professional activity that he carries out on a regular, personal and direct basis. The assets and rights affected by the exercise of this activity are exempt in said exercise from the Wealth Tax once the requirements for this purpose are met.

Ms. VGC also participates with a percentage of 33 percent in the share capital of the public limited companies "Alfa" and "Beta", which are not listed on the stock market nor are they subject to the regime of proprietary companies.

In both companies he exercises management functions, therefore receiving the following remuneration in fiscal year 2022 as work income:

  • LLC "Alpha": 15,000 euros.
  • LLC "Beta": 76,000 euros.

According to the accounting of the SA "Beta", duly audited, the net value of the entity's assets used for the development of economic activity amounts to 2,000,000 euros, in 2022 the value being 2,600,000 euros. total net worth of the entity in said year. Likewise, according to the entity's accounting data, the value of Mrs. VGC's participation, for Wealth Tax purposes, amounts to 150,000 euros.

Determine the value of the shares exempt from the Wealth Tax in fiscal year 2022.


1. Participation percentage:

The owner of the shares meets the minimum percentage of participation required for the application of the exemption in each of the two companies.

2. Percentage of remuneration for management functions performed within each entity:

  • LLC "Alpha": 15,000 x 100 ÷ 65,000 = 23.08 per 100
  • LLC "Beta": 76,000 x 100 ÷ 126,000 = 60.32 per 100

The calculation of the percentage of remuneration is carried out separately for each of the entities, without computing in both cases the net income of the economic activity carried out by Mrs. VGC, whose assets and rights affected enjoy the exemption from the Tax on the Assets, nor those obtained in the other entity.

In view of the percentages obtained, only the shares in the SA "Beta" are exempt, as the remuneration for the management functions carried out in this company is greater than 50% of the net income from work obtained in the year. 2022.

3. Determination of the exempt amount of the shares:

Since there are assets and rights within the balance sheet of the SA "Beta" that are not subject to the exercise of economic activity, the specific value of the exempt shares is determined as follows:

150,000 x 2,000,000 ÷ 2,600,000 = 115,384.62 euros.