Government excludes offshore companies from capital gains exemption on sales of homes to the State | Housing

Contrary to what was initially planned, the Government ended up backing down and, after all, entities headquartered in tax havens will not be exempt from taxation on capital gains if they sell property to the State.

The measure is part of the legislative package launched by the Government to respond to the housing crisis. Specifically, owners who sell residential properties to the State will be exempt from taxation on capital gains resulting from these operations. Currently, the profit obtained from the sale of a property is taxable under IRS or IRC, regardless of the entity to whom the sale is made. As a general rule, taxation applies to 50% of the capital gain that is obtained, with the calculated amount subject to progressive tax rates.

The objective of this measure, explained the Government, is to encourage the entry of more houses on the market, so that they can reach the rental market. But, after all, and contrary to what was foreseen, there will be exceptions.

Capital gains arising from the sale to the State or local authorities of housing properties are exempt from IRS taxation, with the exception of capital gains earned by residents with tax domicile in a country, territory or region subject to a more favorable tax regime. , included in the list approved by decree of the member of the Government responsible for the area of ​​finance”, can be read in the bill now placed in public consultation.

The diploma does not make any reference to exemption from taxation in terms of IRC, so this tax benefit should only apply to individuals, with companies excluded. However, the proposed law is still under public consultation and may be amended.

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