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V3208-21 23 December 2021 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

Accounting, tax advisory, and communication with official bodies are subject to VAT

An entity inquired whether outsourced administration services (accounting, valuation, taxation, and official communication) for investment institutions and pension funds were exempt from VAT. The DGT ruled that only valuation and the registration of unit holders constitute specific and essential exempt services, whereas the remaining services are subject to the tax.

The question raised

Exemption of services outsourced to the consulting entity in Value Added Tax.

The DGT's ruling

For the outsourcing of fund management services to be exempt, they must be specific and essential, with an intrinsic link, and provided exclusively for said management. The calculation of the net asset value and the register of unitholders meet these requirements and are exempt. However, accounting, tax advisory, or communication with official bodies services are subject to VAT due to having a generic nature that allows them to be provided to other clients.

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