We have a recent Construction Promotion Law, approved in 2011, which grants important tax exemptions to developers and builders, based on the exemption of the following taxes:
– Income Tax: 25%
– Property Tax: 1.5%
– Value Added Tax (VAT) on fixed assets: 22%
In economic terms, this option is significantly more profitable to traditional development, thanks to the tax saving that allows to transfer part of the price to the consumer, with a saving for the final buyer of almost 30% with respect to the market value of properties with similar characteristics.