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A query was raised regarding whether compression stockings or sleeves used for draining fluids caused by lymphatic system disorders qualify for the reduced VAT rate. The DGT ruled that the 10% rate applies provided they meet the design requirements for the personal and exclusive use of persons with disabilities.
Question posed: Applicable Value Added Tax rate.
Compression or adjustable stockings or sleeves for legs and arms intended to drain fluids due to lymphatic disorders are taxed at the reduced rate of 10%. To this end, they must meet the objective condition of being designed to alleviate or treat deficiencies and be for the personal and exclusive use of persons with physical, mental, intellectual, or sensory impairments.
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