Central Economic-Administrative Court, Resolution of 25 Sep. 2018, Rec. 3150/2018
TEAC unifies criteria regarding the applicable VAT rate for housing claims, differentiating according to who the recipient of the compensation is.
It rejects the TEAR's argument that the recipient is always the owner of the property being repaired; it also rejects that the issue should be resolved according to the principle of neutrality because for the TEAC there are no differences in terms of the neutrality of the tax depending on who the recipient of the repair work is, since whether it is the individual who uses the property or the insurance company, both act as final consumers.
For the TEAC, the distinction between who is the recipient of the repair services for the damaged home is important to determine what type of VAT should be applied.
If the recipient of the home repair is its owner, a natural person, the tax rate will be the reduced one, provided that the remaining requirements are met, and the recipient is a natural person when the method of compensation, as it results from the insurance policy, is the payment of an indemnity by the insurer because it will be the insured who contracts in his own name with the repair company and who pays the price of the repair, even if the material payment is made directly by the insurer with authorization of the insured to collect the indemnity directly by the repair company.
The fact that the insurer facilitates the contracting of repairs with certain companies in the sector through claims management platforms, obtaining a commission for customer acquisition, does not preclude the application of the reduced rate for the insured, nor does the fact that insurance entities establish quality control systems for the services provided through said platforms.
Conversely, if the recipient is the insurance company, the standard payment method will apply, and the company will be the recipient when the compensation is replaced by the repair or replacement of the damaged item, as stipulated in the policy. In this case, the insurer contracts with the repair company and is obligated to make the payment directly.
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A graduate in Business Administration from the University of Barcelona, she has furthered her training in tax and accounting by attending courses and seminars offered by the EAE Business School, the College of Economists, the Bar Association, and the Terrassa Chamber of Commerce.
She combined her studies with work in the family business and as a substitute in the production audit department of Bimbo SA.
She has spent her professional career at Àmbit Assessor, where she joined in 1991 to support the accounting and tax department, becoming a consultant a few years later.
Since 2000, she has been the managing partner of the company.
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