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New guides on the latest Spanish tax and immigration developments.
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A taxpayer inquired whether they must repay tax deductions from their housing savings account following a developer's insolvency proceedings. The Directorate General for Taxes (DGT) ruled that if the funds are not used for the intended purpose of acquiring or renovating a property, the right to the deduction is lost.
Taxpayers using housing savings accounts must ensure funds are strictly applied to property acquisition or renovation to avoid the obligation to repay tax deductions and potential interest.
The tax team reviews your specific situation.
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