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A transport company has enquired whether amounts transferred by a customer to cover a driver's accommodation and subsistence costs should be included in the VAT taxable base. The DGT has ruled that these amounts must be included in the taxable base, unless the specific requirements to be treated as disbursements are met.
Companies in the transport sector must ensure that any reimbursement of driver expenses is correctly treated as part of the taxable base for VAT purposes, unless they can strictly qualify as disbursements under tax regulations.
The tax team reviews your specific situation.
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