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A company has enquired whether the transfer of a photovoltaic solar farm (including components, licences, leases, and contracts) constitutes an autonomous economic unit exempt from VAT. The DGT ruled that, as the previous management contract had been cancelled, the transfer is merely a transfer of assets subject to tax.
The ruling clarifies that the absence of an ongoing management contract prevents the solar farm from being treated as an autonomous economic unit, thereby making the transaction subject to VAT rather than exempt.
The tax team reviews your specific situation.
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