- Objective and Setup: Stichting X aimed to run a hospice, providing rooms for terminally ill patients. They planned to offer furnished rooms and coordinate care through external providers, with volunteers assisting in non-medical roles.
- VAT Filing and Rejection: X filed for a VAT refund on preparatory expenses for building the hospice, claiming the room rentals as short-stay accommodations subject to VAT. The tax inspector rejected this, arguing the services were VAT-exempt.
- Court’s Decision: The court ruled against X, stating the hospice’s primary service was not just room rental but comprehensive care coordination, making the service VAT-exempt.
- Nature of Services: The court found that guests sought the hospice for care and support rather than mere accommodation, and the room provision was part of a broader care service.
- VAT Implications: As the hospice’s services were VAT-exempt, X was not entitled to a refund on the input tax for the preparatory costs.
Source: futd.nl
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.
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