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V2508-14 24 September 2014 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo impositivo

10% VAT rate applied to zootechnical flour, germ and corn semolina as they are not natural products

A company requested clarification on the VAT rate applicable to zootechnical flour, germ, flour and corn semolina following cleaning, dehulling and chopping processes. The DGT has determined that these derived products are not natural and are therefore subject to a 10% rate.

The question raised

Applicable tax rate for the aforementioned products.

The DGT's ruling

Products derived from cereals obtained through processing methods do not qualify as natural products. Therefore, zootechnical flour (other than bread flour), corn germ, and corn semolina (fine, intermediate, and coarse) are taxed at the 10% rate. Only bread flours suitable for human or animal nutrition are taxed at 4%.

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