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V1965-24 ·17 September 2024 ·consulta-vinculante Medium impact
Tax

No imputed real estate income for properties under construction or those unfit for use due to urban planning restrictions

A taxpayer inquired whether real estate income imputation applies to a property scheduled for demolition to make way for new construction. The Directorate General for Taxes (DGT) ruled that imputation is not applicable if it is proven that the property is unfit for use.

In 5 key points

How it affects those involved

This ruling provides clarity for taxpayers regarding the tax treatment of properties undergoing significant structural changes or those rendered unusable by urban planning regulations, potentially reducing tax burdens in specific transition periods.

Lifecycle

2024-09-17PublishedPublished 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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