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V2144-20 25 June 2020 · SG de Impuestos sobre el Consumo Criterion in force
IVA · mediación

Financial product mediation services are VAT exempt if they facilitate direct or indirect contracting

A credit institution has requested a ruling on whether services provided by an agent marketing accounts, cards, and loans in stands or shops are subject to or exempt from VAT. The DGT has determined that such activities are exempt if they qualify as mediation, which requires an activity that goes beyond the mere provision of information.

The question raised

Whether the services provided by the agent are subject to or exempt from Value Added Tax.

The DGT's ruling

Mediation is exempt if the third party brings the parties together and their work enables the direct or indirect contracting of the product. To constitute mediation, the activity must include at least concluding the contract as an agent, advising and negotiating the terms, or putting the client in contact with the entity through an analysis or filtering process that provides added value. The mere supply of information, advertising, or the administrative processing of applications without advice or influence on the legal relationship are services subject to tax.

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