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V0566-24 9 April 2024 · SG de Impuestos sobre el Consumo Criterion in force
IVA · subvención vinculada al precio

The subsidy to compensate for the deficit of a public transport service is not considered linked to the VAT price

An urban transport company inquired whether the subsidy received from the City Council to compensate for its operating deficit was subject to VAT. The DGT responds that it is not a subsidy linked to the price because there is no distortion of competition.

The question raised

Question raised Whether said subsidy would be subject to Value Added Tax.

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