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V0271-19 ·12 February 2019 ·consulta-vinculante Medium impact
Tax

Advisory and order execution services are independent supplies with different VAT treatments

A credit institution has enquired whether investment advice and order execution constitute independent services for VAT purposes. The DGT has ruled that they are distinct services: investment advice is subject to the standard rate, whereas order execution is exempt.

In 6 key points

How it affects those involved

This ruling clarifies the VAT distinction between advisory services and execution services in financial transactions, ensuring correct tax application for credit institutions and investment firms.

Lifecycle

2019-02-12PublishedPublished 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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