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V2245-20 1 July 2020 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo del cero por ciento

0% VAT rate applied to medical supplies delivered to public entities, clinics, hospitals or social organisations

A federation of pharmacists has requested clarification regarding the application of the 0% VAT rate on medical supplies under Royal Decree-Law 15/2020. The Directorate-General for Taxes (DGT) has clarified that this rate applies to deliveries made to specific recipients (public entities, clinics, hospitals or social organisations), but does not apply to deliveries made by suppliers to pharmacies.

The question raised

Applicable tax rate for Value Added Tax purposes under Article 8 of Royal Decree-Law 15/2020, of 21 April, on urgent complementary measures to support the economy and employment.

The DGT's ruling

The 0% VAT rate applies to the supplies, imports, and acquisitions of the goods listed in the Annex to Royal Decree-Law 15/2020 whose recipients are entities under Public Law, clinics or hospital centers, or private entities of a social nature. The term 'clinic or hospital center' encompasses healthcare centers intended to provide assistance in at least an inpatient regime. The application of this rate does not limit the right to deduct VAT incurred by the taxable person. The 0% rate does not apply to supplies made by providers to pharmacies, even if they are under the equivalence surcharge regime.

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