ECONOMY

EU requires Spain to increase VAT rates for some healthcare products

Finance Ministry says it is studying binding ruling by European Court of Justice

Spain will have to raise the value-added tax rate applied to some healthcare products and services after the European Court of Justice on Thursday ruled in favor of the European Commission, which had argued the government had incorrectly implemented EU rules on VAT.

Currently, all healthcare services and products in Spain are either exempt from VAT or are subject to the reduced rate of 10 percent. The standard rate is 21 percent.

“Spain applies a reduced rate to a broader range of goods than provided for” under VAT rules, the Court said in a statement posted on its website. The ruling is binding

In response, the Finance Ministry said it would not raise VAT on the affected healthcare products until it had fully studied the Court’s ruling. “Although the sentence is binding, it is not immediate,” a ministry source said.

The ministry said it would have to change laws that govern the application of VAT, a process that would take months, adding that it understands that the ruling does not affect medicines and healthcare products used by people with some form of disability.

EU law allows reduced rates to be applied to pharmaceutical products of the type normally used for healthcare, the prevention of diseases and for medical or veterinary treatment, along with medical equipment and apparatuses normally used to alleviate disabilities.

The Commission opened legal proceedings against Spain in 2010 for applying the reduced rate to too broad a range of healthcare goods and services.

The Court ruled that reduced rates should only be applied to finished products that can be directly used by consumers rather than products used as an input to other finished products. It also said reduced rates cannot be applied to appliances used to alleviate the physical deficiencies of animals.

The government had argued that the EU rules failed to sufficiently define the categories of goods and services to which reduced rates can be applied.

Y ADEMÁS...

Para poder comentar debes estar registrado en Eskup y haber iniciado sesión

Darse de alta ¿Por qué darse de alta?

Otras noticias

Avatar
Periodista de EL PAÍS

Últimas noticias

Ver todo el día

Bilbao recupera su feria de la bicicleta

BIBE se presenta con el inicio del intento del récord Guinness de Julián Sanz, consistente en pedalear durante seis días de forma ininterrumpida

La negociación nuclear con Irán se encamina hacia una prórroga

El plazo marcado para cerrar un acuerdo expira este lunes

Los bancos comenzarán a pagar la tasa sobre depósitos en diciembre

Hacienda aprueba el modelo 410 sobre el impuesto bancario y regula las condiciones para su presentación

La producción de coches crece un 11% y supera los dos millones

Anfac espera cerrar el año con 2,4 millones de unidades producidas en España. Los consumidores pueden beneficiarse del nuevo Plan PIVE desde este lunes

LATIN AMERICA

Mexicans say “enough is enough” at huge protest rally

Tens of thousands from all walks of life call for changes to prevent a repeat of Iguala missing students case

Venezuela’s Maduro creates major anti-corruption body

The president’s new organization will have the power to investigate and sanction corrupt individuals

Colombia and FARC negotiate hostage release to unblock stalled peace talks

Army general and four others due for imminent release, say guarantors

Mexico’s First Lady to sell her controversial luxury home

Former soap star Angélica Rivera defends President Peña Nieto’s “integrity” and denies any conflict of interest

Lo más visto en...

» Top 50

Webs de PRISA

cerrar ventana