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V0077-16 13 January 2016 · SG de Impuestos sobre el Consumo Criterion in force
IVA · nitrógeno líquido medicinal

Reduced 4% VAT rate applied to medicinal liquid nitrogen due to its classification as a medicine

A query was made regarding the VAT rate applicable to the supply of medicinal liquid nitrogen. The Directorate-General for Taxes (DGT) ruled that, as it is classified as a medicine under Law 29/2006, the reduced tax rate of 4% applies.

The question raised

Applicable tax rate to the supplies of "Medicinal Liquid Nitrogen"

The DGT's ruling

Medicinal liquid nitrogen is considered a medicinal product for human use. Therefore, the supplies, intra-Community acquisitions, and imports of this product are taxed at the 4% tax rate provided for in Article 91.two.1.3º of Law 37/1992.

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