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V1723-20 1 June 2020 · SG de Impuestos sobre el Consumo Criterion in force
IVA · cesión de contratos

Assignment of service contracts is subject to VAT and does not benefit from financial exemption

The applicant inquired whether the acquisition of service contracts with medical insurers is exempt as a financial transaction. The DGT ruled that the assignment of contracts constitutes a provision of services subject to VAT and does not qualify as a financial transaction.

The question raised

Taxation of the acquisition of contracts by the consultant.

The DGT's ruling

The assignment of contracts of different natures does not constitute a financial operation according to Article 20.One.18 of Law 37/1992. As it does not have the purpose of avoiding an increase in the cost of consumer credit, it cannot benefit from said exemption. The taxable base shall be the total amount of the consideration agreed upon between the parties.

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