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A company has enquired whether the rental of accommodation for tourist use, including laundry and cleaning services, is exempt from VAT. The DGT has ruled that if complementary services typical of the hotel industry are provided, the transaction is not exempt and is subject to the reduced VAT rate.
This ruling clarifies the tax treatment for short-term tourist rentals, confirming that the inclusion of hotel-like services triggers VAT liability at the reduced rate rather than qualifying for exemption.
The tax team reviews your specific situation.
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