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V1291-20 ·7 May 2020 ·consulta-vinculante Medium impact
Tax

Delivery of a vessel to a joint venture is not VAT exempt if the joint venture is not the entity using it for salvage operations

A company belonging to a joint venture (UTE) has enquired whether the delivery of a maritime salvage vessel to said joint venture is exempt from VAT. The Directorate-General for Taxes (DGT) ruled that the exemption does not apply to the delivery to the joint venture, as the exclusive use for salvage purposes only applies to the final public entity purchaser.

In 6 key points

How it affects those involved

This ruling clarifies that VAT exemptions tied to specific activities (such as maritime salvage) do not extend to intermediate entities like joint ventures, even if the final end-user qualifies for the exemption.

Lifecycle

2020-05-07PublishedPublished 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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