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V0395-14 14 February 2014 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo impositivo

Reduced VAT rate of 4% applies to the delivery of social housing under certain conditions

A taxpayer inquired about the VAT rate applicable to the purchase of a social housing unit including a storage room and a garage. The DGT ruled that the 4% rate applies provided specific qualification requirements or protection parameters are met.

The question raised

Applicable tax rate for the delivery of the housing.

The DGT's ruling

The delivery of housing by its developer is taxed at 4% VAT if it is social housing under a special regime, public promotion, or if it is housing with regional public protection whose surface area, price, and income parameters do not exceed those of social housing. In other cases, the rate shall be 4% if the accrual occurred between August 20, 2011, and December 31, 2012, or 10% in any other case. To determine the category, the legislation in force at the time of the definitive classification shall apply.

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