In what is the latest chapter in a long-running debate on the taxation of asset-holding companies, a ruling was handed down on December 7, 2023, in a case defended by the law firm MUGURUZA Y GOMETZA ABOGADOS.

In this ruling, the TSJPV determines that the “non-deducted” application by the asset-holding company does not reduce the net tax value of the property for the purposes of subsequent transfers thereof.

This stance overturns the position held by the regional tax authorities, in the case of Álava until the regulatory amendment was made, whereby this amortization was considered to be incorporated into the tax credit to which the company is entitled at a rate of 30% or 20% as a lump sum for expenses.

This should have been granted the status of a permanent difference, as it was a ruling on an aspect regulated exclusively by regional regulations (without transposition to the regulations of the Common Territory).

It is difficult for this to constitute a matter of interest for cassation that warrants the acceptance of an appeal before the Supreme Court. Therefore, it is time to review the accounting of wealth taxes, generating deferred taxes for “non-deducted” amortizations as of January 1, 2014, without prejudice to any corrections arising from self-assessments for non-prescribed financial years that include real estate sales.