Exemptions without the right to deduct

A: Supply of services and incidental goods by the public postal services 

B: Supply at face value of postage stamps, fiscal stamps and other similar stamps 

Except passenger transport, telecommunications services (Article 132(1)(a) VAT Directive) and postage stamps not valid for postal services within the territory of the EU country concerned (Article 135(1)(h) VAT Directive). 

• Public bodies or, where carried out under comparable social conditions, also by 
• Hospitals 
• Centres for medical treatment or diagnosis 
• Other similar duly recognised establishments
  (Article 132(1)(b) VAT Directive)

• The medical and paramedical professions (Article 132(1)(c) VAT Directive)

• A religious or philosophical institution (Article 132(1)(k) VAT Directive)

• Any person (Article 132(1)(d) VAT Directive)

A: Services and goods closely linked to welfare and social security work 

(including those supplied by old people’s homes) 

Public bodies or 

• Other bodies recognised as being devoted to social wellbeing 

(Article 132(1)(g) VAT Directive)

A religious or philosophical institution 

(Article 132(1)(k) VAT Directive)

A: Services and goods closely linked to the protection of children and young people 

B: Supply of staff for the purposes of transactions under Point A with a view to spiritual welfare 

Public bodies or 

• Other bodies recognised as being devoted to social wellbeing 
  (Article 132(1)(h) VAT Directive)
• A religious or philosophical institution 
  (Article 132(1)(k) VAT Directive)

A: Providing education to children or young people 

 
B: Providing school or university education 

 
C: Providing vocational training or retraining 

D: Services and goods closely related to A, B or C 

Public bodies having this as their aim or 

• Other organisations recognised as having similar objects 
  (Article 132(1)(i) VAT Directive )

Non-profit-making organisations 

(Article 132(1)(m) VAT Directive )

Public bodies or 

• Other recognised cultural bodies 

(Article 132(1)(n) VAT Directive)

Bodies authorised for the purpose 
(Article 132(1)(p) VAT Directive )

Public radio and television broadcasting organisations 

(Article 132(1)(q) VAT Directive)

Non-profit-making organisations of a political, trade union, religious, philosophical, philanthropic or civic nature, provided that this is not likely to distort competition. 

(Article 132(1)(l) VAT Directive)

Organisations whose activities are exempt by reason of Cases 2, 4, 5, 6, 7, 8 or 11, provided that this is not likely to distort competition. 

(Article 132(1)(o) VAT Directive )

Independent groups of persons carrying on: 

• an exempt activity or 
• one in relation to which they are not taxable persons 
• Provided that the group claims from the members only their exact share of the joint expenses and 
• Provided that this is not likely to distort competition 

(Article 132(1)(f) VAT Directive)

The negotiation of or any dealings in: 

• Credit guarantees 
• Any other security for money 

(Article 135(1)(c) VAT Directive)

Cashless transactions concerning: 

• Deposit and current accounts 
• Payments and transfers 
• Debts 
• Cheques and other negotiable instruments 

((Article 135(1)(d) VAT Directive)

Negotiation of all of these 

Cash transactions (including negotiation) concerning: 

• Currency 
• Bank notes used as legal tender 
• Coins used as legal tender 

(Article 135(1)(e) VAT Directive)

Negotiation of all of these 

• Collectors’ items (i.e. gold, silver or other metal coins, or bank notes not normally used as legal tender) 
• Coins of interest to numismatists (coin collectors) 

Transactions in: 

• Shares 
• Other interests in companies or associations 
• Debentures and other securities 

(Article 135(1)(f) VAT Directive)

Negotiation of all of these 

• management of all of these and safekeeping 
• transactions in: 
• Documents establishing title to goods 
• Rights in rem giving the holder a right of use over immovable property 
• Securities giving the holder legal or factual rights of ownership or possession over immovable property or a part of such property 

(Articles 135(1)(f), 15(2) VAT Directive)

The management of special investment funds 

(Article 135(1)(g) VAT Directive)

The supply of a building (or parts of a building) and the land on which it stands 

(Article 135(1)(j) VAT Directive)

Such supplies taking place before the building is first occupied 

(135(1)(j), 12(1)(a) VAT Directive) 

The supply of land that has not been built on 

(Article 135(1)(k) VAT Directive)

The supply of building land 

(Articles 135(1)(k), 12(1)(b) VAT Directive) 

The leasing or letting of immovable property 

(Article 135(1)(l) VAT Directive) 

• Hotels or similar accommodation 
• Accommodation in holiday camps 
• Accommodation on specially developed camping sites 
• Parking spaces (e.g. in a specially built car park or on open ground) 
• Letting permanently installed equipment and machinery 
• Safe hire 
• Other exclusions that EU countries may choose to add 

(Article 135(2) VAT Directive) 

Provision of betting, lotteries and other forms of gambling 

Article 135(1)(i) VAT Directive

The supply of goods used exclusively for the listed exempt activities provided that the goods have not given rise to deductibility 

(Article 136(a) VAT Directive)

• Activities in the public interest (exempt under Article 132(1) VAT Directive) 
• Insurance and reinsurance transactions Article 135(1)(a) VAT Directive) 
• Financial transactions Article 135(1)(b)-(g) VAT Directive) 
• The supply of postage stamps etc at face value valid for postal services within the EU country concerned (exempt under Article 135(1)(h) VAT Directive) 
• Transactions in immovable property Article 135(1)(j)-(l) VAT Directive) 
• Betting, lotteries and gambling Article 135(1)(i) VAT Directive) 
• Transitional exemptions granted by derogations Articles 371, 375-377, 378(2), 379(2) and 380-390c VAT Directive) 

The supply of goods on the acquisition or application of which VAT is not deductible 

(Article 136(b) VAT Directive) 

• Non-business expenditure, such as expenditure on luxuries, amusements or entertainments 
• Other expenditure on which VAT is declared not to be deductible 

(Articles 176, 177 VAT Directive)