Skip to content
Back to index
V3632-15 19 November 2015 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
ITPAJD · actas jurídicos documentados

Establishment of a real estate complex is not subject to Stamp Duty, and new builds are taxed based on execution costs

A company has requested a ruling regarding ITP and AJD taxation concerning the establishment of a real estate complex, the declaration of new construction, horizontal division, and the allocation of a dwelling. The DGT determines that the establishment of the complex does not trigger taxation and specifies how to calculate the tax base for the remaining operations.

The question raised

Determination of the various taxable events for the purposes of the Transfer Tax and Stamp Duty, as well as the taxation to which each of them is subject, specifically the concepts and criteria applied for the calculation of the tax base, specifying what each concept or subconcept comprises, such as the execution cost of the work, the total or built area in each case, the value of the land, etc.

The DGT's ruling

The establishment of a real estate complex is not subject to Stamp Duty (AJD) as it does not have as its object a valuable amount or thing. The declaration of new construction and horizontal division are subject to the variable rate of Stamp Duty, using as the base the actual cost of execution of the work (excluding VAT, profits, or fees) and the value of the land. The allocation of housing is subject to Stamp Duty based on the value declared at the date of the deed, which in exchanges is the value of the plot of land delivered.

Book your free first meeting