High VAT on construction hindering development, warns real estate developers, despite positive outlook.

• Real estate developers warn that the regime “serves no purpose” without a reduction in VAT
• The high VAT on construction may result in unused land being released
• The APPII highlights the high VAT in construction and bureaucratic delays
• Some projects are stalled in city councils for five to six years
• The land law may not lead to affordable housing construction as not all converted land may be financially viable
• Real estate developers applaud the initiative despite the potential challenges.

Source: jornaldenegocios.pt

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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