BFG has discontinued shares or bonds? It will be possible to deduct the loss from the tax soon

In the event of a loss of money on the forced redemption of shares/bonds by the decision of the Bank Guarantee Fund, it will be possible to deduct the expenses incurred for their purchase as a loss – according to the assumptions of the amendment to the PIT Act published on Friday on the website of the Prime Minister.

On Friday, in the list of legislative work of the government, the assumptions of the draft amendment to the Personal Income Tax Act, by the Ministry of Finance, were published.

The ministry noted that at present in the case of partial or complete redemption of securities (e.g. bonds or shares), which causes taxpayers with a financial loss, this event does not cause tax effects.

“Revenues from bonds (constituting income from interest or discount on bonds, or income from the redemption by the Issuer of Bonds) and income from forced redemption of the shares are subject to, taxed flat -rate income tax. The essence of a flat -rate form losses, but is treated as a lack of income (income).Odatchers, whose securities have been forced to be disclosed, cannot be settled on their purchase as losses, with other income from the source of income +cash capital+, incurred in a tax year or in subsequent years ” – explained the ministry.

In turn, the provisions of the Act on the Bank Guarantee Fund provide for the possibility of redemption of securities without remuneration by means of an administrative decision issued by BFG, which is final and under pain of immediate enforceability. “As a consequence, persons who have securities who have been fully discontinued by way of an administrative decision, not only completely lose their assets constituting the value of these papers, but also cannot lose the economic loss they suffered in connection with the expenses for their embrace or acquisition, settle for tax purposes with other cash revenues” – added.

The list announces that therefore, it is planned to regulate the principle of determining tax deductible in the event of cancellation of securities under the decision issued by BFG. “This provision will allow you to include expenses for the inclusion or acquisition of discontinued securities (shares or bonds) as a result of the BFG administrative decision as tax deductible costs. The costs will be included in the tax year in such a decision, even when in a given tax year the taxpayer has not obtained other revenues from monetary capital” – stated in the assumptions of the amendment.

It was explained that these expenses will constitute tax deductible costs, provided that earlier, in any form, they were not included in the tax deductible costs.

The new regulations are to enter into force on January 1, 2026 and relate only to expenses for the embrace or acquisition of such securities that were discontinued by BFG decisions issued after the date of entry into force of the proposed changes.

The bill is to be adopted by the government in the third quarter of this year. (PAP)

Fos/ Mick/