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V0493-20 27 February 2020 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo impositivo reducido

Prior AEAT recognition required to apply 4% reduced VAT rate on vehicle purchases

A person with a 33% disability has enquired about the requirements for applying the 4% VAT rate to a vehicle purchase. The DGT states that to apply this reduced rate, the vehicle must be suitable for the habitual transport of persons with disabilities and the AEAT must have previously recognised the entitlement through a formal application.

The question raised

Requirements for the application of the reduced rate of 4 percent for Value Added Tax purposes in the acquisition of said vehicle.

The DGT's ruling

To apply the 4% rate to vehicles intended for the habitual transport of persons with disabilities or reduced mobility, prior recognition of the right by the State Tax Administration Agency is required. The vehicle must be suitable for such transport, excluding, for example, motorcycles. The disability must be proven by official certification or by being a recipient of a disability pension or retirement due to disability. Furthermore, requirements must be met such as the lapse of four years since the acquisition of another vehicle under analogous conditions and the non-transfer of the new vehicle within that same period.

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