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V2665-23 2 October 2023 · SG de Impuestos sobre el Consumo Criterion in force
IVA · arrendamiento de vivienda

Leasing of tourist apartments is VAT exempt if hotel-style services are not provided

A company has requested clarification on whether renting tourist apartments with minibar and luggage storage services is subject to VAT. The DGT has ruled that residential leasing is exempt, provided that no complementary services characteristic of the hotel industry are supplied.

The question raised

Taxation of the activity within the scope of Value Added Tax.

The DGT's ruling

The leasing of real estate for residential use is exempt from VAT, unless complementary services characteristic of the hotel industry are provided (such as cleaning or periodic reception). Services such as the availability of coffee, beverages, or luggage storage do not qualify on their own as hotel industry services. If the activity is limited to making the real estate available without these additional services, the operation is exempt.

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