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A query was raised regarding whether property rental constitutes an economic activity and whether such assets would be exempt from Wealth and Inheritance Tax. The DGT ruled that for leasing to be classified as an economic activity, at least one full-time employee must be employed, and that wealth tax exemptions depend on whether said activity is the primary source of income.
This ruling clarifies the distinction between real estate income and economic activities, affecting tax exemptions and the application of business-related tax benefits.
The tax team reviews your specific situation.
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