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New guides on the latest Spanish tax and immigration developments.
Practical tools for informed decision-making.
A married couple inquired whether renting out properties held in joint ownership could be classified as an economic activity by hiring an employee. The Directorate General for Taxes (DGT) ruled that such classification depends on each joint ownership entity meeting the requirement of employing at least one person under a full-time employment contract.
This ruling clarifies the distinction between real estate capital income and income from economic activities for joint owners, affecting tax treatment and social security obligations.
The tax team reviews your specific situation.
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