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V1356-23 ·22 May 2023 ·consulta-vinculante Medium impact
Tax

Heating supply subject to 21% VAT, unless invoiced as natural gas delivery at 5%

A company provides boiler management services to supply heating and hot water using natural gas. The DGT has ruled that heating services do not qualify for the reduced 5% rate; however, if the operation is invoiced as a delivery of natural gas, the reduced rate would apply.

In 6 key points

How it affects those involved

This ruling clarifies the distinction between service provision and the supply of goods, impacting how heating companies structure their invoicing to benefit from reduced VAT rates.

Lifecycle

2023-05-22PublishedPublished 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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