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V1769-20 3 June 2020 · SG de Impuestos sobre el Consumo Criterion in force
IVA · cesión onerosa

Commercial transfer of railway infrastructure by a public entity is subject to VAT

A public entity inquired whether the transfer of rights to use and operate railway infrastructure to third parties is subject to VAT. The DGT responds that such activity is subject to VAT, and that payments to cover operational deficits are not considered consideration.

The question raised

Question raised: Extension of the binding ruling of January 17, 2018, inquiry V0065-18, as a consequence of a modification in the facts presented therein. In particular, the provision of the transport service will no longer be carried out directly by the same, but rather it will assign to a third party the right to the use and exploitation of the infrastructure in exchange for a single consideration.

The DGT's ruling

The onerous assignment of railway infrastructure to third parties for its use and exploitation is subject to VAT pursuant to Article 7.8.F.d of Law 37/1992. Transfers received from the Autonomous Community to cover operating deficits are not considered subsidies linked to the price nor consideration for the service. Likewise, transfers for the construction of infrastructure do not form part of the taxable base of the subject transactions.

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