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V2969-20 2 October 2020 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

VAT exemption for services to international organisations may be applied by presenting a certificate for each transaction

A self-employed professional inquired whether VAT exemption could be applied to services provided to the OECD using a French exemption certificate. The Directorate-General for Taxes (DGT) ruled that the exemption is applicable provided the right to it is proven, and that the certificate must be presented for every new transaction carried out.

The question raised

Exemption from Value Added Tax on services provided. Obligation to provide the certificate for each transaction performed.

The DGT's ruling

Services provided to international organizations are exempt from VAT if the recipients prove, by means of a certificate from the competent authorities of the destination State, the right to acquire goods or services with exemption. The exemption is applied directly without charging the tax on the invoice. As VAT accrues for each transaction, the provider must provide the certificate for each new transaction performed.

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