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A query was raised regarding whether a property transfer should be taxed based on the purchase price or the average market price in the area. The Directorate General for Taxes (DGT) ruled that the tax base must be the actual value and that the Administration may challenge the declared value through value verification procedures.
Taxpayers must ensure that declared transaction prices align with market values to avoid administrative challenges and potential tax adjustments.
The tax team reviews your specific situation.
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