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V0819-16 2 March 2016 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo reducido

Delivery of natural flowers in funeral services subject to reduced 10% VAT rate

An association of funeral companies has requested clarification on whether the delivery of flowers, bouquets, and wreaths constitutes a complementary or independent service, and which VAT rate applies. The Directorate General of Taxes (DGT) has ruled that these deliveries are independent operations and must be taxed at the reduced rate of 10% if the flowers are natural.

The question raised

Whether the delivery of flowers, bouquets, and flower wreaths is complementary but independent of their funeral services and the tax rate applicable thereto.

The DGT's ruling

The delivery of flowers, bouquets, live plants, and wreaths carried out by funeral companies constitutes an independent operation for the recipient and not an ancillary service. Therefore, the reduced tax rate of 10% provided for flowers and live plants of an ornamental nature applies. This rate does not apply to artificial or 'handheld' flowers, which are taxed at the general rate of 21%.

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