VATupdate

Share this post on

Individual interpretation – correct position on the lack of right to deduct VAT expenses for the implementation of the hospital’s medical equipment exchange project

  • The letter is a response to a request for an individual interpretation of tax laws regarding the deduction of VAT on expenses related to a medical equipment exchange project in a hospital.
  • The project aims to replace outdated medical equipment in the hospital’s operating block and introduce new procedures to improve the quality and safety of surgical procedures.
  • The project is funded 85% by the European Regional Development Fund (ERDF) and 15% by the hospital’s own funds.
  • The investment includes construction work and the purchase of modern equipment and medical devices.
  • The company providing medical services is registered as an active VAT taxpayer and is exempt from VAT for certain medical services.
  • The company also engages in taxable activities such as leasing premises and providing various other services.
  • The company currently applies a VAT deduction rate of 2%.
  • The letter confirms that the company is not entitled to deduct VAT on expenses related to the project, as it falls under the exempted category of VAT.

Source: sip.lex.pl

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

Sponsors:

VAT news
VAT news

Advertisements: