Within the generic administrative activity of verification, the Administration can verify the value of the income, products, goods and other elements of the taxable event, unless the taxpayer has declared in accordance with (RGGI art.157):
- The value that has been communicated by the Administration in the information actions prior to the acquisition or transfer of real estate foreseen in LGT art.90 and RGGI art.69.
- The values published by the Administration itself in application of any of the means of verification of values.
Said verification can be based on any of the following means (LGT art.57):
- capitalization or imputation of income at the percentage indicated by the law of each tax;
- estimation by reference to the values appearing in the official tax registers; such estimation may consist of the application to such values of the multiplying coefficients determined and published by the competent Administration. In the case of real estate, the official tax registry taken as a reference will be the Real Estate Cadastre;
- average market prices;
- quotations in national and foreign markets;
- expert opinion of the Administration;
- value assigned to the property in insurance contract policies;
- value assigned for the appraisal of the mortgaged properties in compliance with the provisions of the mortgage legislation;
- price or declared value corresponding to other transfers of the same property, taking into account the circumstances of these;
- any other means determined in the law of each tax.
The contradictory expert appraisal is not a means of verification of values, but a means to confirm or correct the value verified.
The procedure of verification of values cannot be promoted if the taxpayer has declared using the values published by the own acting Administration in application of some of the mentioned means.
Thus, the taxpayer is not obliged to prove that the value stated in the tax return or self-assessment corresponds to the real value; the burden of proof falls on the tax authorities.
