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V1443-19 ·14 June 2019 ·consulta-vinculante Medium impact
Tax

Banks cannot use the cooperative exemption but may use the social housing exemption

A bank has requested clarification on whether it can apply the exemption for cooperatives or the exemption for social housing (VPO) to loans for land acquisition. The Directorate-General for Taxes (DGT) ruled that the cooperative exemption does not apply because it is subjective, whereas the social housing exemption does apply as it is objective.

In 6 key points

How it affects those involved

This ruling clarifies the distinction between subjective and objective tax exemptions for financial institutions, specifically regarding Stamp Duty (AJD) on loans for land acquisition.

Lifecycle

2019-06-14PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

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This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
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