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A non-profit association has requested clarification on whether organising horse shows and exhibitions is exempt from VAT and Corporation Tax. The Directorate-General for Taxes (DGT) has ruled that these activities are subject to VAT and, if they constitute an economic activity, the income will also be subject to Corporation Tax.
This ruling clarifies that non-profit status does not automatically grant exemption from tax obligations if the activities are carried out as a commercial or economic enterprise.
The tax team reviews your specific situation.
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