VATupdate

VAT exempt social work or VAT taxable supply of staff?

  • The service qualifies as the lending of personnel, which is comparable to the services provided by employment agencies and which are VAT taxable.
  • This case is similar as a case for which the Supreme Court ruled in its judgment of 11 August 2017, in which “the supply of” doctors and medical specialists were qualified as VAT taxable “supply of staff”.
  • The agreement must be interpreted as an agreement to perform an assignment, in which there is an obligation of result with regard to the work to be performed.
  • The service provider was liable (had to take out various (liability) insurance policies) in connection with the work.

Source: rechtspraak.nl (Dutch)

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