21% VAT on transfer belts for patient mobility

The tax classification of products intended for the mobility of persons with disabilities is a critical aspect for the correct settlement of Value Added Tax (IVA). Recently, the Directorate General of Taxes (DGT) has issued a binding ruling that clarifies the tax rate applicable to transfer belts for patient mobility.

What the DGT has ruled

The query sought to determine the tax rate applicable to the supply of this type of product. The DGT has established that transfer belts must be taxed at the general rate of 21%.

The ruling is based on the fact that the reduced rate of 10% is reserved exclusively for medical equipment and devices designed to alleviate or treat deficiencies, intended for the personal and exclusive use of persons with physical, mental, intellectual, or sensory deficiencies, provided they appear in the annex of the corresponding regulations. Since the transfer belt in question is not included in the categories mentioned in Law 37/1992, it cannot benefit from the reduced rate.

What this means for you

This pronouncement has a direct impact in two areas:

• Companies: Establishments and manufacturers marketing transfer belts for patients are obliged to apply the general rate of 21% on their invoices.
• Consumers: Individuals acquiring these mobility products must bear the cost of the 21% tax rate.

What should be done

It is necessary to verify that the cataloging of the products being marketed strictly adheres to the provisions of current regulations. Applying an incorrect tax rate can lead to tax contingencies for companies. It is recommended to analyze the nature of each product and its fit within the legal annexes to ensure compliance with tax obligations.