The ‘trick’ of donating money without paying taxes: the keys that dismantle it

The donations They are one of the ways that parents help their children when they need money and vice versa. They are also a tool to try pay less taxes that with a inheritance if planned properly and that is why in 2022 the number of housing donations experienced its historical maximum. From a technical point of view, a donation It is a delivery of goods free of charge. That is, a gift from another person without giving anything in return. That ranges from cash money until you pay one debt from another person or buy anything from them, such as a car. And all without any type of minimum quantity. One of the biggest myths about donations is that there is a exempt minimum of 3,000 euros. With the law in hand, even receiving a euro as a gift would be a donation. In reality, that figure is the amount from which the bank will inform the Treasury of income in the current account. For the transfers The magic figure is 10,000 euros. However, the bank does not notify tax authorities does not imply that there is no need pay taxes on that money.As a general rule, all donations are taxed in the Inheritance tax and donations regardless of the amount, the use made of the money or the recipient. So that you understand it better, in theory even the wedding gifts They are donations on which taxes would have to be paid. A different issue is that the Tax Agency monitors or persecutes them, which it does not do. For this reason, thinking about how to donate money from a parent to a child without paying tax is a chimera. The tax free donations does not exist, except in one case. There is only one case of donation that does not pay taxes or fees. It is what appears in article 142 of the Civil Code that refers to the food between relatives.This concept encompasses “everything that is indispensable for the ssustenance, room, clothing and medical assistance“, as well as “education and instruction” while the children are minors or if they are still older but have not finished their training. In other words, the money for the Care and training of children. It is not a donation on which taxes must be paid. In the rest of the cases, you will always have to pay taxes on the donation in the Inheritance tax and donationswhich is assigned to the autonomous communities.The donation taxes vary in each community, although practically all include bonuses for donations between parents and children. For example in Madrid there is a 99% compensation provided that it is signed before a notary, while in Andalusia apply a reduction of up to one million euros and in Castilla la Mancha a request of between 100% and 80% depending on the amount received. Added to this are communities such as Balearic Islands where the tax has been eliminated directly for donations between parents and children. The issue changes with other family members and, of course, people outside the family, for whom they do not apply. bonuses. In that case, taxes would have to be paid at rates ranging from 7.65% to 34%. In these cases, the option to not pay taxes on the donation is sign a loan between individualsThis document is like a typical loan, only signed between two individuals and can even be signed at a rate of 0%. That is, you can lend money for freealthough not giving it away. The drawback of the loan between individuals is that you will have to return the money, since that is the purpose of the loan. If it is not returned, the Treasury could consider it to be a hidden donation and if it is condoned, it would directly be a donation. Furthermore, it is also subject to Tax on Property Transfers and Documentary Legal Acts, although right now it is exempt from paying taxes. That is, you do not have to pay this tax.