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A taxpayer inquired whether the main residence exemption could apply to the sale of a property with a hotel licence in which they reside. The DGT ruled that only the portion of the building configured and used as a main residence is eligible for the reinvestment exemption.
This ruling clarifies that properties with mixed-use licences (such as hotels) do not qualify for full tax exemptions; the exemption is strictly limited to the residential portion of the asset.
The tax team reviews your specific situation.
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