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V2840-19 15 October 2019 · SG de Impuestos sobre el Consumo Criterion in force
IVA · mediación financiera

Financial brokerage services may be VAT exempt if active mediation is performed

A company sought clarification on whether its brokerage services for credit card contracting (in-person or via telephone) were exempt from VAT. The DGT ruled that exemption depends on whether the activity constitutes genuine mediation rather than the mere provision of information or advertising.

The question raised

Exemption from Value Added Tax applicable to financial intermediation services.

The DGT's ruling

For financial intermediation to be exempt, the provider must be an independent third party that brings the parties together for a future contract. The activity must go beyond informing or receiving requests, requiring an active element such as advice, negotiation of terms, or client screening/analysis that provides added value. The mere supply of information, advertising, or the simple processing of forms does not qualify as exempt mediation.

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