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V3742-16 7 September 2016 · SG de Impuestos sobre el Consumo Criterion in force
IVA · entrega de bienes

Graffiti creation subject to 10% VAT if deemed fully handmade works of art

A professional sought clarification regarding the tax liability and exemptions for creating graffiti on facades or walls. The DGT has determined that these operations are not exempt, but rather subject to the reduced VAT rate if they meet the requirements of a work of art.

The question raised

Liability and, where applicable, exemption of this operation.

The DGT's ruling

The creation of a graffiti is not exempt as a professional service of a visual artist, as it is considered a supply of goods when paintings are made on any support. They shall be taxed at the reduced rate of 10% when it is a painting or drawing made entirely by hand by the artist, in accordance with the definition of an object of art. Otherwise, the general rate of 21% shall apply.

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