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An entity in the Canary Islands enquired whether obtaining property location notes is considered a service related to real estate for VAT purposes. The DGT ruled that these are general information services, and their location is governed by the general rules set out in Article 69 of the VAT Act.
Question raised 1st. Location of said services for the purposes of Value Added Tax.
Services providing registry information on real estate are not considered services related to real estate. If the recipient is a business or professional established in the Peninsula or the territory of application of VAT, the transaction is subject to the tax. If the recipient is an individual or a business established in the Canary Islands, the transaction is not understood to be carried out in the territory of application of VAT and is not subject to it.
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