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A query was raised regarding whether the taxable base for the horizontal division of properties should consist of the new build cost and the purchase value of the plot, and whether these values require updating. The DGT ruled that the base must include the cost of the new construction and the value of the land as of the date of the horizontal division deed.
This ruling clarifies the calculation method for the taxable base in horizontal division processes, ensuring that both construction costs and land values are assessed at the time of the legal deed.
The tax team reviews your specific situation.
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