- The report addresses the artificial interposition of the company “YY SA” to deduct VAT on works carried out on properties used by “XX SA” for educational activities.
- “XX SA” is exempt from VAT due to its educational activity and cannot deduct input VAT.
- The arrangement is deemed artificial, with its sole relevant effect being the improper deduction of VAT by “YY SA.”
- The Commission concludes that this setup constitutes a conflict in the application of tax law.
Source: sede.agenciatributaria.gob.es
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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