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V0931-19 29 April 2019 · SG de Impuestos sobre el Consumo Criterion in force
IVA · subvención

European Community grants are not subject to VAT and do not allow for exemptions

A foundation has enquired whether funds received from the European Community for environmental projects constitute transactions subject to VAT and whether exemptions can be applied. The DGT has ruled that these amounts are grants rather than a provision of services; therefore, there is no VAT to exempt.

The question raised

Cuestión planteada Deducibilidad del Impuesto soportado.

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