VAT exemption conditions in medical and cosmetic surgery procedures

Tax law

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To be exempt from value added tax (VAT), medical and cosmetic surgery procedures must: – on the one hand, be carried out by professionals practicing in the legal and regulated field of medicine (article 261 cpc)   ,  – on the other hand, pursue a therapeutic purpose, as specified by the Court of Justice of the European Union (judgment no. 91/12 of March 21, 2013). Cosmetic surgery procedures without restorative or therapeutic purposes do not fall within the scope of services covered by health insurance. The administration therefore refuses the VAT exemption for aesthetic medicine procedures not reimbursed by the mutual insurance company. This position was validated by the Council of State (judgment no. 363118 of July 5, 2013): only cosmetic medicine and surgery procedures covered by health insurance, in whole or in part, can benefit from an exemption. of VAT. DAMY Law Firm 2022)
 

Conditions for VAT exemption in medical and cosmetic surgery procedures: –

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To benefit from the value added tax (VAT) exemption, certain conditions must be met for medical and cosmetic surgery procedures. First of all, these acts must be carried out by professionals practicing in the legal and regulated field of medicine, as indicated in article 261 of the general tax code. This requirement ensures that professionals have the necessary qualifications and meet established standards in their respective fields.

Furthermore, to benefit from the VAT exemption, medical and cosmetic surgery procedures must have a therapeutic purpose. This criterion was clarified by the Court of Justice of the European Union in judgment no. 91/12 of March 21, 2013. The actions must aim to provide a therapeutic benefit and improve the health or well-being of   patients   .

Eligibility for health insurance coverage exemption: –

It is important to note that cosmetic surgery procedures which are not intended for reconstructive or therapeutic purposes are not taken into account in the scope of health insurance. consequently, the VAT exemption for aesthetic medicine procedures not reimbursed by health insurance is refused. This decision is based on the fact that these procedures are considered elective and not essential for medical reasons.

The position relating to the VAT exemption for medical-surgical interventions covered by health insurance was confirmed by the Council of State by judgment no. 363118 of July 5, 2013. According to this decree, only acts partially or totally covered by health insurance are eligible for VAT exemption. This ensures that the exemption applies to acts that have been determined to be medically necessary and essential to the well-being of the patient.

Overall, the VAT exemption for aesthetic medicine and surgery requires compliance with both the legal and regulatory framework of medicine and the pursuit of therapeutic purposes. Only procedures covered by health insurance, in whole or in part, are eligible for this VAT exemption. These conditions were established to ensure that exemptions are granted to procedures that serve the best interests of patients and contribute to their health and well-being.

DAMY LAW FIRM 2022