- TEAC Criterion 1 of resolution 00/50042/2025 (18 June 2026) addresses the exception to the VAT exemption for second and subsequent transfers of buildings under Article 20.Uno.22º of Law 37/1992. The non-exemption applies where the acquirer intends to rehabilitate the property, so VAT rather than transfer tax applies. [serviciost…nda.gob.es], [vlex.es]
- The key requirement is that the acquirer’s intention to allocate the building to rehabilitation must be proven through objective elements. Historically, TEAC required “immediate” rehabilitation (uninterrupted administrative and material steps, including negotiations with tenants for eviction), a criterion applied until the word “immediate” was removed on 22 April 2008. [serviciost…nda.gob.es]
- Since then, only rehabilitation—without needing to be immediate—must be demonstrated. The doctrine matters for real estate operators structuring purchases with a waiver of the exemption, ensuring input VAT recovery and avoiding transfer tax (ITP), provided objective evidence of the rehabilitation purpose is documented at acquisition. [serviciost…nda.gob.es], [vlex.es]
Sources: DYCTEA – TEAC criteria · DYCTEA related criterion · vLex – exenciones edificaciones
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