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A farmer asks whether the contribution of their agricultural farm to a limited liability company may qualify for the LIS special regime and how it would be taxed under VAT and TPO. The DGT states that this is possible if participation and accounting requirements are met, and the operation may be exempt from VAT if it constitutes an autonomous economic unit.
Farmers may benefit from VAT exemption when contributing agricultural holdings to limited liability companies, provided specific participation and accounting conditions are met.
The tax team reviews your specific situation.
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