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A dominant entity within a group tax regime seeks clarification on deducting VAT for the construction of a mixed-use building. The DGT rules that VAT shall be deducted based on the intra-group operations sector and, for all other activities, through the special pro rata method.
This ruling clarifies the methodology for VAT recovery in complex group structures involving mixed-use assets, distinguishing between intra-group transactions and general activities.
The tax team reviews your specific situation.
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