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A social assistance foundation asks whether catering services for its residents can apply the reduced 4% VAT rate. The DGT responds that the reduced rate applies only to social assistance services provided by the foundation, not to catering supplies received from third parties.
Funds receiving catering services from external providers are subject to the standard 10% VAT rate, not the reduced 4% rate applicable to in-house social services.
The tax team reviews your specific situation.
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