Skip to content
V3236-18 ·19 December 2018 ·consulta-vinculante Medium impact
Tax

Free services to third parties may be subject to VAT due to self-consumption or taxed under Personal Income Tax at their market value

A lawyer inquires whether the free provision of services to friends or family and contingency fees are subject to VAT and Personal Income Tax. The DGT indicates that if the free service is for purposes unrelated to the professional activity, it is not subject to VAT, but if it is for business purposes, it is considered self-consumption subject to the tax.

In 6 key points

Lifecycle

2018-12-19PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

Does this provision affect you?

The tax team reviews your specific situation.

Talk to the tax team
This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
Email
Contact