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A sound technician inquires about the VAT rate applicable to their services. The DGT responds that the 10% rate may be applied if the services are provided to organizers of theatrical or musical works, whereas for other activities, the general rate of 21% shall apply.
Question raised: Tax rate applicable for Value Added Tax purposes.
Services provided by technicians, who are natural persons, to organizers of theatrical or musical works are taxed at 10% VAT. An organizer is defined as the person who orders the material or human resources for the performance. If the service does not refer to a theatrical or musical work, or is provided under concepts such as mediation or maintenance, the general rate of 21% shall apply.
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