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V0751-19 3 April 2019 · SG de Impuestos sobre el Consumo Criterion in force
IVA · régimen especial de agencias de viajes

Event planning services may be taxed as a single supply or under the travel agency regime

A wholesale travel agency has requested clarification regarding the taxation of the MICE segment and whether combining accommodation, transport, and sporting events constitutes a single service or a travel service. The DGT clarifies that it depends on whether the elements form a complex organisational service or a travel package.

The question raised

Value Added Tax treatment of services included within the so-called MICE segment, and its scope of application, as well as when the services jointly include accommodation, travel, and sporting events.

The DGT's ruling

Congress or event organization services that integrate closely linked elements constitute a single supply and are not subject to the travel agency regime. If the supply includes transport or accommodation as an accessory to the event, it is treated as a single organization service. Conversely, if event tickets are combined with transport or accommodation acquired from third parties, the special travel agency regime applies. If the services are provided in an isolated and independent manner, each is taxed according to the rules applicable to it.

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