In principle, real estate rental is an exempt VAT transaction. This means that no VAT must be charged on the rent charged, but also that no VAT can be deducted on the costs. One of the exceptions to this exempt immovable lease is the provision of furnished accommodation. Since VAT must be charged on the rent, the VAT on purchases may therefore be recovered. The qualification as furnished accommodation has undergone a number of changes.
Source: alaska-group.eu
