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A sports association has enquired whether capoeira classes held at a school are exempt from VAT. The DGT has ruled that the educational exemption does not apply as these are sports services; however, they may be exempt if the association meets the requirements of a social entity.
This ruling clarifies that sports activities do not qualify for educational VAT exemptions, meaning providers must ensure they meet specific social entity criteria to benefit from reduced rates.
The tax team reviews your specific situation.
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