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A taxpayer has enquired whether they can apply for a reinvestment exemption by using part of the funds for the renovation of their new home. The DGT clarifies that works are only classified as rehabilitation if they target structural elements and exceed a specific percentage of the building's value.
This ruling clarifies the strict criteria for qualifying renovation works under reinvestment tax exemptions, limiting the scope to structural improvements rather than general maintenance or cosmetic upgrades.
The tax team reviews your specific situation.
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