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A taxpayer inquired whether the sale of two urban plots by his father (an entrepreneur) has expired and which tax should be settled. The DGT ruled that the transaction is subject to VAT instead of ITP, and clarifies when tax accruals and statutes of limitation occur.
This ruling clarifies the tax treatment for entrepreneurs selling urban land, confirming that such transactions fall under VAT jurisdiction, which affects the tax liability and the applicable deadlines for settlement and prescription.
The tax team reviews your specific situation.
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