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V0958-14 3 April 2014 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

Supply of demineralised bone matrix not VAT-exempt if separate from medical care

A company asks whether distribution of demineralised bone matrix for grafts is VAT-exempt. The DGT states that the product is not a natural human body element and that its supply is not exempt if carried out independently of medical care services.

The question raised

Taxation under Value Added Tax.

The DGT's ruling

The exemption for elements of the human body does not apply to products derived from tissues that have undergone transformation processes beyond mere preservation. The supply of a graft would only be exempt if it is ancillary to a principal provision of medical or healthcare assistance. If the supply of the product is carried out habitually to various recipients independently of the treatment, it cannot be considered ancillary and must be subject to tax.

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