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V2664-14 8 October 2014 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

Sale of books for consideration is not exempt from VAT, even if ancillary to teaching

An educational institution inquired whether the sale of books could be exempt from VAT on the grounds that it is ancillary to teaching activities. The DGT ruled that, as the sale is made for consideration, the exemption does not apply and the 4 per cent rate must be applied.

The question raised

Whether the exemption can be applied to the sale of books as it is ancillary to teaching

The DGT's ruling

The exemption for teaching services does not apply to supplies of goods made for consideration. Therefore, the sale of books, lab coats, uniforms, or computers made for consideration is subject to VAT. In the case of books, the rate of 4 percent must be applied.

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