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An electronic waste management company inquired whether it could apply the special scheme for used goods and which VAT rate applies to the resale of repaired devices. The DGT ruled that if the goods have been refurbished by the taxable person themselves, they are not considered used goods and must be taxed at the standard rate.
Companies performing repairs or refurbishments on goods before resale cannot benefit from the reduced VAT margins of the special scheme for used goods, as the transformation process changes the tax classification of the items.
The tax team reviews your specific situation.
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