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V0287-22 15 February 2022 · SG de Impuestos sobre el Consumo Criterion in force
IVA · sujeción al impuesto

Membership fees for non-profit entities may be VAT exempt if set out in their articles of association

An association of energy agents has requested clarification on whether its annual membership fees are exempt from VAT. The DGT has ruled that while membership fees constitute consideration subject to VAT, they may be exempt if they are statutory contributions intended for purposes of collective interest.

The question raised

Exemption of the annual fees paid to the applicant by its members regarding Value Added Tax.

The DGT's ruling

Membership fees constitute consideration for services subject to VAT when a direct link exists between the fee and the services received. However, these transactions may be exempt pursuant to Article 20.One.12 of Law 37/1992 if they are carried out to fulfill the corporate purpose, are intended for the members, and no consideration is received other than the fees established in the bylaws. The exemption does not apply to services invoiced at an independent price to satisfy the private interests of the member, nor to activities carried out for third parties.

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