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V2117-22 ·6 October 2022 ·consulta-vinculante Medium impact
Tax

Improvement or extension works are included in the acquisition value, whereas repairs are not

A query was raised regarding whether works carried out on a rental property should be classified as improvements or repair expenses. The DGT clarifies that improvements or extensions increase the property's capacity or useful life and are added to the acquisition value, whereas repairs maintain its capacity for use and are not included in said value.

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2022-10-06PublishedPublished 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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