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V1121-18 30 April 2018 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo impositivo

21% standard VAT rate applied to oxygen concentrators as personal and exclusive use for persons with disabilities is not confirmed

A medical equipment manufacturer has requested clarification regarding the VAT rate applicable to its products. The Directorate-General for Taxes (DGT) has ruled that oxygen concentrators are subject to the 21% rate, as it has not been established that they are designed solely for the personal and exclusive use of persons with physical, mental, intellectual, or sensory disabilities.

The question raised

Tax rate applicable to the supplies of the product subject to consultation.

The DGT's ruling

To apply the reduced rate of 10%, medical equipment must meet an objective definition: being designed to alleviate or treat deficiencies and being for the personal and exclusive use of persons with physical, mental, intellectual, or sensory deficiencies. As it is not confirmed that oxygen concentrators meet this requirement of personal and exclusive use, the general rate of 21% applies to them.

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