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V2294-23 31 July 2023 · SG de Tributos Locales Criterion in force
OTRO · iae

IAE classification cannot be determined without knowing the exact nature of services provided

A company has enquired whether its registration under IAE heading 849.8 (intensive multi-services involving personnel) is correct for its production process support activities. The DGT has indicated that, due to a lack of detailed information, it cannot confirm the specific heading, although it mentions examples of other potential headings depending on the actual activity performed.

The question raised

It is desired to know whether heading 849.8, under which the taxpayer is registered in the municipality of Siero for support work in the production process for a company, is correct or, conversely, whether said activity could be classified under any other rubric of the Tax Tariffs.

The DGT's ruling

Heading 849.8 allows for the grouping of multiple services requiring the provision of personnel, assuming tax savings and management agility. However, the taxpayer may opt to be taxed independently for each service that has a differentiated treatment in the Tariffs. The correct classification will depend on whether the activities involve cleaning, waste collection, maintenance, or construction, among others.

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