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V2265-14 ·4 September 2014 ·consulta-vinculante Medium impact
Tax

No income imputation for unbuilt land on urban plots not used for economic activity

A query was raised regarding whether income should be imputed for the entirety of an urban plot containing a small building, or only for the built area. The Directorate General for Taxes (DGT) ruled that income imputation is not applicable to the unbuilt portion of the plot.

In 5 key points

How it affects those involved

This ruling clarifies that owners of urban plots with minor structures do not need to impute income for the unbuilt land, provided the plot is not used for economic activity, potentially reducing the tax burden on such properties.

Lifecycle

2014-09-04PublishedPublished 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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