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V1699-17 30 June 2017 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

Supply of packaging material to an acquirer in another Member State may be exempt from VAT

A company enquired whether the sale of packaging material to a German entity, under Ex Works or Free Carrier conditions, could qualify for VAT exemption. The DGT indicates that if the material is transported to Germany by the acquirer in compliance with legal requirements, the transaction shall be exempt.

The question raised

Application of the exemption provided for in Article 25 of Law 37/1992 to the supply of packaging material transmitted by the consultant.

The DGT's ruling

The supply of goods is exempt from VAT if they are dispatched or transported to the territory of another Member State by the vendor, the acquirer, or a third party, provided that the acquirer is a taxable person or professional identified in said State. To justify the transport, any means of proof admitted in law may be used, not being limited solely to the examples provided in the Regulation. In this case, if the packaging material is subject to transport to Germany by its acquirer, the supply shall be taxable but exempt.

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