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A homeowners' association has enquired whether works such as pool fencing, padel court repairs, toilets, ramps, stairs, and garage waterproofing can benefit from the reduced VAT rate. The Directorate-General for Taxes (DGT) has ruled that works on swimming pools and sports facilities are subject to the standard rate, but renovation works in residential buildings may apply the reduced rate provided certain requirements are met.
This ruling clarifies the distinction between general maintenance of leisure facilities and the renovation of residential buildings, affecting the VAT burden for homeowners' associations.
The tax team reviews your specific situation.
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