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V1703-14 3 July 2014 · SG de Impuestos sobre el Consumo Criterion in force
IVA · asistencia social

Teaching services in day centres for the elderly are subject to 10% VAT if not exempt

A query was raised regarding whether postural hygiene and psychomotricity workshops for the elderly in a day centre are exempt from VAT. The DGT has determined that, as these are provided by a natural person, the social assistance exemption does not apply and the reduced rate of 10% must be applied.

The question raised

Exemption of the services provided or, where applicable, the applicable tax rate.

The DGT's ruling

The exemption for elderly care is not applicable when the services are provided by a natural person, as they do not hold the status of a private social establishment. The teaching services described are subject to VAT at the reduced rate of 10%, unless they are not considered included in a social assistance program, in which case the general rate of 21% shall apply.

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