With the new Regulation, it will once again become interesting to make donations on behalf of descendants. Below are the scales applicable in these cases. As the table shows, the maximum tax rate is 9% for the amounts received over 600,000 Euros.
| Taxable Income up to (€) | Gross Tax (€) | Remaining Taxable Income up to (€) | Rate (%) |
|---|---|---|---|
0,00 | 0,00 | 200,000.00 | 5 |
200,000.00 | 10,000.00 | 600,000.00 | 7 |
600,000.00 | 38,000.00 | Upwards | 9 |
With this new Regulation, there may be situations in which the taxation of the acquisition by donation is less than the taxation of the acquisition by inheritance.
The maximum tax rate on acquisitions for inheritance is 32% for the portion of taxable income that exceeds 800,000 Euros. While the tax liability arising from the hereditary acquisition can benefit from the application of the bonus discussed earlier, taxation resulting from inheritance may be greater than the derivative of the donation.
For more information on inheritance or donation in Spain,
