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A company managing the operation and maintenance of a tramway has requested clarification on whether it can apply a reduction to the taxable base of the Electricity Excise Duty. The Directorate-General for Taxes (DGT) has ruled that tramways are considered railway transport and that the holder of the supply point is entitled to the benefit, provided they can prove the energy is used for such transport.
This ruling clarifies the tax treatment for tramway operators, confirming their eligibility for significant tax reductions under the category of railway transport, provided usage is properly documented.
The tax team reviews your specific situation.
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