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V0260-16 ·25 January 2016 ·consulta-vinculante Medium impact
Tax

Profit margin on fixed asset construction by a joint venture for a tax group must be eliminated

A company has requested clarification on whether it should eliminate the profit margin generated from the construction of a fixed asset by a joint venture (composed of two group companies) for a third company within the same group. The Directorate General of Taxes (DGT) has ruled that it must be eliminated, as it constitutes an internal transaction affecting the individual taxable bases of the constituent entities.

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2016-01-25PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

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