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A neighborhood association asks whether an additional amount intended to finance environmental improvement must be included in the VAT taxable base of its forest concessions. The DGT responds that said amount forms part of the consideration and must be taxed.
Question raised: Inclusion of the aforementioned amount in the taxable base of Value Added Tax.
The amount intended for the financing of environmental improvement works forms part of the consideration for the transaction. Therefore, it must be included in the taxable base of Value Added Tax on forest exploitation concessions. This is because the taxable base is constituted by the total amount of the consideration received from the recipient.
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