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V1291-20 7 May 2020 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

Delivery of a vessel to a joint venture is not VAT exempt if the joint venture is not the entity using it for salvage operations

A company belonging to a joint venture (UTE) has enquired whether the delivery of a maritime salvage vessel to said joint venture is exempt from VAT. The Directorate-General for Taxes (DGT) ruled that the exemption does not apply to the delivery to the joint venture, as the exclusive use for salvage purposes only applies to the final public entity purchaser.

The question raised

Whether the operations carried out by the consultant in favor of the UTE are exempt from tax by virtue of Article 22 of Law 37/1992.

The DGT's ruling

The delivery of the consultant's vessel to the UTE is not exempt from VAT and the general rate of 21 percent must be applied. The exemption under Article 22 of Law 37/1992 requires that the acquirer be the company itself or the public entity that uses the vessels for the purposes that qualify for the exemption. In this case, the exclusive use for maritime salvage or assistance only applies to the public entity and not to the UTE.

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