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A taxpayer inquired whether purchasing a plot of land to build a primary residence could benefit from a reduced rate under the ITPAJD. The Directorate General for Taxes (DGT) ruled that the transaction is subject to the tax and that the availability of reduced rates depends on the specific regulations of the Autonomous Community.
The ruling clarifies that tax rates for property transfers are not uniform across Spain but are subject to regional legislation, specifically affecting how land acquisitions are taxed in the Canary Islands.
The tax team reviews your specific situation.
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