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V0127-22 25 January 2022 · SG de Impuestos sobre el Consumo Criterion in force
IVA · procuraduría

Location of court agent services in judicial mortgage foreclosures determined by property location

A company sought clarification regarding the location of its court agent services within judicial mortgage foreclosure proceedings. The DGT ruled that, as these are judicial proceedings, they are considered services related to real estate, and their location depends on where the property is situated.

The question raised

Place of supply of the services consulted.

The DGT's ruling

The legal representation services performed within the judicial sphere for mortgage foreclosures are considered services related to real estate, as they aim for the legal modification thereof. Therefore, they are located in the territory of application of VAT provided that the real estate securing the credits is located in said territory (excluding the Canary Islands, Ceuta, and Melilla). In other cases, the general rule of localization set forth in Article 69 of Law 37/1992 shall apply.

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