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A taxpayer inquired whether they must continue to impute real estate income for a property sold via a private contract without a public deed. The Directorate General for Taxes (DGT) ruled that the transfer is deemed to have occurred upon delivery of the property or the execution of the public deed.
This ruling clarifies the exact moment tax liability for real estate income ends in private sales, providing legal certainty regarding the distinction between private contracts and formal deeds.
The tax team reviews your specific situation.
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