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V3959-16 20 September 2016 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

Rental of apartments for disabled persons is VAT exempt if no hotel services are included

A foundation has enquired whether the rental of its adapted apartments and the provision of healthcare services are exempt from VAT. The DGT has ruled that the rental is exempt provided that no complementary services typical of the hotel industry are provided, and that healthcare is exempt if provided by medical or healthcare professionals.

The question raised

The consultant requests clarification regarding ruling V3643-15 dated 23-11-2015, concerning the exemption for the rental of real estate where hotel industry services are not provided. As well as, whether the listed services, provided by healthcare personnel, are exempt from the tax through the application of article 20.one.3º.

The DGT's ruling

The leasing of real estate for residential use is exempt from VAT provided that no complementary hotel industry services are provided, such as cleaning or linen changes on a weekly basis. Medical, surgical, and healthcare services for the diagnosis, prevention, or treatment of diseases are exempt if they are materially provided by medical or healthcare professionals. This healthcare exemption is maintained even if the professionals act through a commercial company that invoices the service.

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