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V1339-24 7 June 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IVA · derecho de superficie

Income from CO2 rights and surface rights subject to VAT and Income Tax based on their nature

A community of property has requested a ruling regarding the VAT and Income Tax treatment of subsidies, timber sales, CO2 absorption rights, fire compensation, and the creation of surface rights. The DGT clarifies the tax liability of each concept according to current regulations.

The question raised

Liability for Value Added Tax regarding the aforementioned income and taxation under Personal Income Tax.

The DGT's ruling

The transfer of CO2 absorption rights constitutes a provision of services subject to VAT at 21%, with a possible reverse charge mechanism. The creation of surface rights constitutes a provision of services subject to VAT, which accrues according to the successive stages of performance. Income from the sale of timber and CO2 rights constitutes income from economic activities for Personal Income Tax purposes. Royalties for surface rights constitute income from real estate capital.

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