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A company requested clarification on whether its new cycle ergometers, designed for treating physical impairments, could qualify for the reduced VAT rate. The Directorate-General for Taxes (DGT) has ruled that they must be taxed at the standard rate of 21%.
Companies manufacturing or selling medical equipment for physical rehabilitation must apply the standard VAT rate if the products are not specifically categorised as assistive products under current regulations.
The tax team reviews your specific situation.
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