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Alternative services of a gym during Corona lockdown subject to VAT?

There is no taxable service by a fitness studio operator if the gym is closed. Neither the continued payment of membership fees nor the replacement services offered by the operator is an exchange of services subject to VAT. With this decision, the Hamburg tax court deviates from an earlier view held by the Schleswig-Holstein tax court. Both proceedings are now pending before the Supreme Tax Court for final clarification.

Source PwC

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