As an exception to the general rule, input VAT cannot be recovered in a number of cases which include the following:
- Purchase or hire of a salon motor vehicle
- Non-employee entertainment or hospitality expenses
- Non-director entertainment or hospitality expenses
- Housing expenses for directors and their connected persons
- Acquisition used for making exempt supplies
- Goods acquired in accordance with the second-hand goods scheme
- Expenses which are not wholly and exclusively for the business
|Exempt||Rents / Medical and dental care services / Insurance / Banking and Financial services / National postal services / Education / Sports / Lottery tickets, betting coupons for football and horse racing / Land / Used building / New building for which proper application for planning permission was filled prior to 1 May 2004|
|0||Supplies to VAT registered persons in other EU member states / Exports to non-EU countries / Food, except in the course of catering / Supply of medicines falling within CE tariff codes 30.03 and 30.04 / Supply of vaccines for medical and veterinary use falling within CE tariff code 30.02 / Commissions received from abroad for exportation of goods / Commissions received from abroad relating directly to the importations of goods from non-EU member states where the goods are placed under customs temporary regime, temporary storage, free zones, customs warehousing, etc. / International air and Sea transport|
|5||Supply of live animals for human consumption / Supply of animal feedings stuffs, seeds, fertilizers and insecticides / Transportation of persons on a rural or city bus and their luggage / Funeral services and supply of coffins / Road sweeping, garbage collection and recycling other than services supplied by state authorities, local authorities and public utility corporations / Services of authors, composers, artists and critics of work of art as well as the Royalties received by them.
- As From 01/05/2004
Books, newspapers and magazines / Gas in Cylinders / Non-bottled water / Ice cream, yogurt ice-cream and similar products / Salted or spicy products made from potato, cheese puffs and crisps, dry roasted or spicy nuts / Cereal and similar products packaged for human use.
- As From 01/01/2006
Renting of Camping space for caravans.
- As From 19/10/2007
Renovation or repair to dwelling older that three years old from its first use and the materials uses do not exceed 50% of the total cost / Hair salon services – (Men and Women) / Confectionery items, chocolates and biscuits which are partly or wholly covered with chocolate / Bottled water, juice drinks and manufactured beverages (those non included at the standard rate of VAT) / Food supplements, ingredients for preparation of foodstuff and foodstuffs / Syrups, flavoured or and coloured / Contraception products and Sanitary protection products for women / Repair services of medical equipment and equipment for disabled persons / Supplies of vaccines and medicines previously taxed at 15% / Medical equipment for exclusive use of disabled persons / Services of medical, dental and thermal treatment not exempt from VAT / Admissions to shows, circuses, fairs, amusements parks, concerts, museums, zoos, cinemas, exhibitions and cultural events, sports events and licenses for the use of sporting facilities / Children’s car seats
|9||- As from 01/08/2005
Rural, urban and suburban taxi transport services / Tour, excursive and suburban bus services
- As From 01/01/2006
Hotels, tourist and other similar establishments including provision of holiday accommodation / Restaurant services and similar catering services with the exception of alcoholic drinks / Supply of sea onshore passenger and luggage transport
|19||All supplies of goods or rendering of services except those taxed at 0% / 5% / 9% or exempt|
|Dates/Periods||Standard Rate||Reduced Rate 1||Reduced Rate 2|
|01/07/1992 – 30/09/1993||5%||-||-|
|01/10/1993 – 30/06/2000||8%||-||-|
|01/07/2000 – 30/06/2002||10%||5%||-|
|01/07/2002 – 31/12/2002||13%||5%||-|
|01/01/2003 – 31/07/2005||15%||5%||-|
|01/08/2005 – 29/02/2012||15%||5%||8%|
|01/03/2012 – 13/01/2013||17%||5%||8%|
|14/01/2013 – 12/01/2014||18%||5%||8%|
|13/01/2014 – Today||19%||5%||9%|
The information contained in this Site has been written in general terms and therefore cannot be relied on to cover specific situations; application of the principles set out will depend upon the particular circumstances involved and we recommend that you obtain professional advice before acting or refraining from acting on any of the contents of this newsletter. AlfaZeda Associates Limited would be pleased to advise readers on how to apply the principles set out in this newsletter to their specific circumstances. AlfaZeda Associates Limited accepts no duty of care or liability for any loss occasioned to any person acting or refraining from action as a result of any material in this newsletter.