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A non-profit nautical club has requested a ruling regarding the VAT exemption or applicable rate for its sporting and general services. The DGT indicates that if the entity is of a social nature, services directly related to the practice of sport are exempt, whereas all other services are subject to the standard rate.
This ruling clarifies the distinction between exempt sporting services and taxable general services for non-profit social entities, affecting how such organisations structure their VAT compliance.
The tax team reviews your specific situation.
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