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V1803-24 18 July 2024 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

Training courses are VAT exempt only if subjects are part of an official curriculum

A company enquired whether its training courses on the handling of dangerous goods were exempt from VAT. The DGT ruled that exemption depends on whether the subjects taught are included in any curriculum within the educational system.

The question raised

For the purposes of Value Added Tax, it is questioned whether the courses are exempt from Tax and, if not, what the applicable tax rate would be.

The DGT's ruling

The exemption under Article 20.one.9º of the VAT Act requires compliance with a subjective requirement (authorized entity) and an objective requirement (teaching of subjects included in curricula). The courses consulted may be considered vocational training, but they shall only be exempt if their subjects are listed in a curriculum of the educational system. Otherwise, the tax rate of 21 percent shall apply.

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