Article 11(1)(o) of the VAT implements Article 132(1)(i) and (j) of the VAT Directive. This article of the VAT Directive provides for an exemption from turnover tax for children’s or youth education, school or university education, vocational training or retraining, including the supply of services and goods closely related thereto, by bodies governed by public law having such as their aim or by other organizations recognized by the Member State concerned as having similar objects. The Dutch rules provide for an exemption from turnover tax for the provision of education, including the services and supplies closely related thereto, (1) by schools and institutions designated for that purpose, as defined by or pursuant to the laws regulating education which, by virtue of statutory provision, is subject to supervision by the Inspectorate of Education or to other supervision by the Minister charged with the care of the education in question, as well as (2) education to be designated by order in council, including the services and supplies closely related thereto, whereby it may be stipulated, that the exemption shall only apply with respect to entrepreneurs who do not intend to make a profit with such education. The court has no reason to doubt that the [school] is a school that provides education that is exempt. However, that does not mean that the interested party can share in that exemption because he gives the field hockey lessons to students of that school. It has not been stated or shown that the interested party gives those lessons on behalf of the school. On the contrary: it cannot be deduced from the documents other than that the interested party gives the field hockey lessons in his own name, by order of [company]. The exemption referred to above is therefore not applicable.
Source: rechtspraak.nl
