Back to index
V2186-17 22 August 2017 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

Supply of goods for exempt activities is subject to VAT if not used exclusively by the transferor for exempt transactions

A foundation inquired whether it could apply a VAT exemption to goods acquired for its elderly care activities. The DGT ruled that these supplies are subject to tax because the goods were not used exclusively by the transferor in exempt operations.

The question raised

Question raised: Whether the exemption provided for in Article 136.a) of Council Directive 2006/112/EC of 28 November 2006 is applicable regarding the goods acquired by the entity for the conduct of its activity.

The DGT's ruling

The exemption under Article 20.One.24º of Law 37/1992 applies to the supplies of goods used by the transferor exclusively in exempt transactions. In this case, the supplies of goods that the acquirer will use in exempt transactions that limit their right to deduction are subject to and not exempt from the tax.

Apply this to a real case

What is published here, applied to a company or a specific case. The first meeting is free.

Book a meeting Write to the firm
Email
Contact