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An association has inquired whether financial contributions made via corporate collaboration agreements are exempt from VAT. The Directorate-General for Tax (DGT) has ruled that, as there is no evidence of the entity's public utility status, Law 49/2002 and its regulations regarding collaboration agreements do not apply.
Entities seeking tax benefits through corporate collaboration agreements must ensure they have formal recognition of public utility status to comply with Law 49/2002.
The tax team reviews your specific situation.
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