The law provides a VAT exemption for services consisting of lessons on school or higher education subjects, thereby excluding teachers, tutors, and tutoring centers from this tax.
However, other professionals, such as trainers, are excluded from the scope of the VAT exemption outlined in the article that lists exemptions for domestic operations.
In this response to the taxpayer, the Tax Authority (AT) refers to a circular letter with instructions issued at the time of amendments to the article containing exemptions introduced by the State Budget Law for 2024 (OE2024). It states that services provided to educational establishments or others by trainers acting in this capacity are excluded from the exemption.
Thus, the AT adds, trainers only benefit from the exemption in the educational aspect if they have professional qualifications for teaching and act in the capacity of teachers.
Even if they cannot benefit from this exemption, taxpayers providing professional training services can use the ‘general’ VAT exemption that covers the provision of services, but its value is limited to an annual turnover of up to 15,000 euros.
In this particular case, the taxpayer teaches a technical professional education course for young people aged 14 to 25, through a training entity.
