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A query was raised regarding whether the cost of furnishing a kitchen and purchasing appliances can be added to the acquisition value of a property to calculate capital gains. The Directorate General for Taxes (DGT) ruled that these items do not constitute improvements to the real estate and that their depreciation through use is not tax-deductible.
Taxpayers cannot increase the acquisition cost of their property by including movable assets like furniture or appliances, which may result in a higher taxable capital gain upon sale.
The tax team reviews your specific situation.
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