Tax and legal strategy for businesses that cross borders

International trade is the growth engine for thousands of Spanish companies, and the sector’s figures confirm this emphatically: more than 165,236 active companies, close to 1,083,797 workers registered with Social Security and revenue exceeding €606.3 billion, equivalent to a 12.3% share of wholesale and international trade across the European Union. The five-year survival rate of 45.0% is higher than in sectors such as retail or transport, though the average gross margin of 5.2% reveals that value creation in international trade depends substantially on efficiency in tax, customs and financial management of operations.

Spain is the world’s ninth-largest services exporter and thirteenth-largest goods exporter, with a business community oriented towards international markets in sectors such as agri-food, automotive, chemicals, machinery and consumer goods. EU membership provides a single market free of internal tariffs, but the Union Customs Code (UCC), intra-EU VAT rules and Double Taxation Conventions generate a complexity that, if not managed rigorously, can significantly erode the profitability of any import or export operation.

At BMC we advise importers, exporters, international distributors and multinational groups with operations in Spain on the comprehensive management of their tax and customs obligations. Our services cover VAT planning for intra-EU and third-country transactions (Forms 303, 349, 380), fiscal representation for non-established companies in Spain, transfer pricing documentation and the optimisation of international group structures. We also advise on special customs regimes — inward processing, customs warehousing, end-use relief — that allow companies to defer or substantially reduce their tariff burden.

International tax planning for cross-border businesses goes beyond VAT and customs duties. The choice of distribution structure (own subsidiary, independent distributor or commission agent), transfer pricing policy within multinational groups, the application of Double Taxation Conventions to minimise source-country withholding taxes, and the management of permanent establishment risk in foreign markets are all strategic decisions with a direct tax impact. Our team, with experience across more than 35 jurisdictions, provides integrated advisory that combines in-depth knowledge of Spanish tax law with a network of local advisers in key trading partner countries.