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V0526-21 ·9 March 2021 ·consulta-vinculante Medium impact
Tax

Acquisition of drones by public entities may be VAT exempt if used exclusively for public functions

A public business entity sought clarification on whether the acquisition of drones for maritime rescue could qualify for the exemption under Article 22.Four of the VAT Act. The DGT ruled that the transaction is taxable but exempt if the aircraft are used exclusively to perform public functions.

In 6 key points

How it affects those involved

This ruling clarifies the conditions under which public entities can benefit from VAT exemptions for drone technology, provided there is strict exclusivity in their application to public duties.

Lifecycle

2021-03-09PublishedPublished 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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