HERSILL | NEWS | UPDATES | 22 JULY 2022
In Spain, about 85% of medical devices have a VAT of 21% – the highest tax bracket – making our country one of the European states with a higher tax on these items.
The health technology sector has been calling for a reduced VAT on all these products, which are key to tackling disease and preventing health. Although the government applied a 0% VAT to the solutions involved in the improvement of patients with COVID-19, with the rest of the products it has argued that the reduction of this tax is not a national competence.
However, on 6 April, following an agreement reached by the Economic and Financial Affairs Council of the European Union (ECOFIN), the new VAT Reform Directive (EU) 2022/542 was adopted, which allows Member States, without the need for EC authorisation, to change VAT rates on certain products meeting basic needs, such as equipment, appliances, appliances, appliances and other appliances. and medical supplies, as well as ancillary equipment and protective equipment.
As the Spanish Federation of Health Technology Companies, Fenin, points out, it is necessary and urgent to apply the reduced rate of this tax, which could translate into a saving of more than 1 billion euros for the National Health System, which could be reinvested for the improvement of health care.
Providing the Autonomous Communities with more economic resources as a result of lower VAT rates would enable health services to improve the quality of health care, reduce waiting lists, deal with the renovation of hospital and health centre equipment and introduce technological innovations.
This would also lead to savings for patients and greater accessibility to essential health devices. In addition to bringing Spain into line with the EU, the tax reduction of this tax would contribute to the fight against climate change, digitalisation and the protection of public health.
