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The inquirer asks whether the exemption for reinvesting in a primary residence can be applied if the new property was purchased before the sale of the old one. The DGT rules that this is possible, provided that the primary residence requirements are met and the proceeds are reinvested.
This ruling clarifies the temporal flexibility allowed for taxpayers seeking to mitigate capital gains tax through the reinvestment of proceeds from the sale of their primary residence.
The tax team reviews your specific situation.
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