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V2837-18 26 October 2018 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

Military aircraft repair services contracted via an intermediary are subject to VAT

An aircraft maintenance company enquired whether its services for a military aircraft, contracted through an intermediary company, were exempt from VAT. The DGT ruled that the provision is subject to tax because the client is neither the public entity nor the international organisation.

The question raised

Applicability of the exemption contained in Article 22.Fifteen of Law 37/1992 to the aforementioned transaction.

The DGT's ruling

The exemption under Article 22.Four is not applicable because the recipient of the services is an intermediary company and not the public entity that owns the aircraft. The exemption under Article 22.Fifteen is also not applicable because the applicant does not act as an intermediary, but rather as the service provider. Therefore, the transaction is subject to VAT.

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