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V0149-24 ·16 February 2024 ·consulta-vinculante Medium impact
Tax

Heating and hot water supplies must be taxed at the standard 21% VAT rate

A homeowners' association enquired about the VAT rate applicable to a boiler management contract for supplying heating and hot water via natural gas. The Directorate-General for Taxes (DGT) ruled that, as this constitutes a heating service rather than a supply of gas, the standard rate applies.

In 6 key points

How it affects those involved

This ruling clarifies that management contracts for heating services are subject to the standard VAT rate, rather than the reduced rate applicable to the supply of gas itself.

Lifecycle

2024-02-16PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

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This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
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