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A query was raised regarding how to determine the tax base in a lease agreement with a purchase option. The DGT explains that taxation varies depending on whether the transactions are subject to VAT or if, due to being subject to VAT, they fall outside the scope of transfer tax.
The ruling clarifies the distinction between transfer tax (ITP) and VAT in lease-to-own contracts, affecting how the tax base is calculated for documented legal acts.
The tax team reviews your specific situation.
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