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V0990-20 ·21 April 2020 ·consulta-vinculante Medium impact
Tax

Legal functions of a Regulatory Council are VAT-exempt, but commercial activities are taxable

A Regulatory Council for a Protected Geographical Indication queries whether its income from fees and services is exempt from VAT. The DGT responds that statutory functions are not commercial activities and thus are not subject to VAT, but other activities competing with private market activities are subject to the tax.

In 6 key points

How it affects those involved

Regulatory bodies may be exempt from VAT on legal duties, but must pay VAT on commercial activities that compete with private sector offerings.

Lifecycle

2020-04-21PublishedPublished 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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