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A non-profit association has requested a ruling regarding the taxation of membership fee refunds, the sale of plots, and the free transfer of land. The DGT has determined that the sale of plots may be exempt from VAT provided that works involving the physical transformation of the land have not begun, and that free transfers are subject to Inheritance and Gift Tax.
This ruling clarifies the VAT status of land transactions based on the physical state of the development, providing legal certainty for non-profit entities regarding land transfers and urbanisation processes.
The tax team reviews your specific situation.
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