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V0958-20 ·20 April 2020 ·consulta-vinculante Medium impact
Tax

Electricity production in an Irrigation Community is subject to VAT, except for common irrigation costs

An Irrigation Community has requested a ruling on whether energy production at a photovoltaic plant constitutes a business activity and how energy supplied to its members or sold to the market is taxed. The DGT has determined that the sale of surplus energy and self-consumption are subject to VAT, whereas the distribution of energy costs for irrigation may be exempt from VAT if it forms part of water management.

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2020-04-20PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

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