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An association has requested clarification on whether the fees it will pay on behalf of its members to affiliate them with another association are subject to or exempt from VAT. The DGT ruled that fees established in the articles of association for services provided in the collective interest of the members are exempt.
This ruling clarifies the VAT treatment of membership fees paid by one non-profit entity to another, provided the fees are defined in the articles of association and serve the collective interest of the members.
The tax team reviews your specific situation.
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