Skip to content
V0831-18 ·26 March 2018 ·consulta-vinculante Medium impact
Tax

Purchasing movable property from private individuals is subject to ITPAJD, not VAT

A second-hand watch trading company has requested clarification on which tax applies when purchasing goods from private individuals. The DGT has clarified that acquisitions from private individuals are subject to ITPAJD rather than VAT, as VAT is exclusive and depends on the status of the transferor.

In 6 key points

How it affects those involved

This ruling confirms that businesses purchasing goods from non-taxable individuals cannot apply VAT, but must instead account for ITPAJD, affecting tax compliance and accounting procedures for second-hand traders.

Lifecycle

2018-03-26PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

Does this provision affect you?

The tax team reviews your specific situation.

Talk to the tax team
This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
Email
Contact