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A machinery leasing company has requested guidance on how to register for the Economic Activities Tax (IAE) and which tax quotas are applicable. The Directorate-General for Traffic (DGT) has ruled that classification depends on whether the contract constitutes a rental of movable property or a transport service, as well as the specific characteristics of the vehicles.
Businesses involved in leasing or transport must carefully assess their contract terms to ensure correct IAE registration and avoid tax misclassification.
The tax team reviews your specific situation.
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