After a delay of 10 years, the Republic was forced to impose VAT on land sales and land anaptyximis.
For this anyone interested to acquire land to build the House, would do well to rush to buy before December 31, 2017.
Which situations are taxed
The pieces of land which would fall under the category of non-developed building land, as well as the exact spot that will be taken into account for purposes of verifying the transfer time will be determined in regulations that will go through the House, According to the amendment passed.
From the obligation to impose TAX will be exempt from protected and livestock areas.
The Commissioner of taxation during the consideration of the matter, stated that TAX is levied in all cases building land sales carried out within the framework of economic activity, while any other sales pitches to building will be examined on a case by case basis by the Registrar the taxation as to whether they fall within the term ‘ economic activity ‘, taking into account in each case the data at the time of sale.
The final text of the Bill provides such as rendering TAX in cases of sale of land under the loan restructuring process and/or forced transfer to the lender or sell through public auction conduction process performed by the lender is carried out with the method of reverse charge.
Also set out clearly that VAT 19% is levied on non-developed building land deals, which will clearly intended for the erection of one or more structures.
In addition, in cases of concluding new contracts imposing VAT on the leasing/renting of immovable property for business purposes, while providing the right to the lessor if he make a disclosure with the Registrar taxation, selects the imposition of VAT.
Please note that VAT will not be inflicted on the sale of shares of companies, in the event that the sale of transferred property.
