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V2572-20 28 July 2020 · SG de Tributos Locales Criterion in force
OTRO · impuesto sobre actividades económicas

Square footage subject to exchange must be included in the IAE variable quota declaration

A real estate developer has enquired whether the square footage sold through an exchange of land for future construction must be declared for the calculation of their IAE variable quota. The DGT has ruled that an exchange is governed by the same rules as a sale and purchase agreement and, therefore, those square metres must be included in the calculation.

The question raised

It is desired to know:

The DGT's ruling

In heading 833.2 of the IAE, the variable quota is assessed based on the square meters built or to be built that have been sold. Given that a barter is a special type of sale and purchase where an item is delivered instead of a price, the square meters subject to barter must be included in the calculation of the variable quota. The declaration of these square meters must be made using form 840 during the first month of each calendar year.

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