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V0234-22 10 February 2022 · SG de Impuestos sobre el Consumo Criterion in force
IVA · deducción

VAT charges on truck purchases deductible if conditions met

A transport company asked whether it could deduct VAT on trucks acquired at the end of a lease and simultaneously transferred to other businesses. The DGT states that deductibility depends on compliance with tax regulations.

The question raised

Whether the Value Added Tax amounts incurred in the acquisition of said trucks shall be deductible for the consulting entity.

The DGT's ruling

The acquisition of the trucks generates a right to deduction provided that the delivery of these goods is a transaction subject to and not exempt from the tax, or exempt pursuant to Articles 20 bis, 21, 22, 23, 24 and 25 of Law 37/1992. Given that the acquisition and the transfer occur simultaneously, the goods are not considered investment goods, therefore deductibility is subject to compliance with the requirements of Title VIII of the VAT Law.

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