- The sale of commercial premises converted into residences is subject to VAT if the conversion involved rehabilitation works, qualifying as a first delivery.
- In such cases, a reduced VAT rate of 10% applies, regardless of occupancy permits, as long as the property is objectively suitable for residential use.
- If no rehabilitation works were done and it is a second or subsequent delivery, the sale is subject to but exempt from VAT.
Source: allyon-etl.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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