Deductible expenses
To determine the net return on real estate capital, all the expenses necessary to obtain it, as well as the amounts intended for amortization , can be deducted from the full returns ##1## ##2##of the property and the other assets transferred with it, provided that they respond to its effective depreciation.
In the case of rentals of properties subject to and not exempt from the Value Added Tax (VAT) or the Canary Islands General Indirect Tax (IGIC), the deductible expenses will be computed excluding VAT or, where applicable case, the IGIC .