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V0019-19 3 January 2019 · SG de Impuestos sobre el Consumo Criterion in force
IVA · base imponible

Obligation to increase VAT taxable base via corrective invoice following withdrawal of legal claim after debt settlement

A company sought guidance on the procedure to follow after reducing its taxable base due to non-payment, subsequently reaching a settlement with the client and withdrawing the legal proceedings. The DGT ruled that, in the event of a withdrawal, a corrective invoice must be issued to account for the VAT amount.

The question raised

Modification of the Value Added Tax tax base as a consequence of subsequent withdrawal, procedure to follow.

The DGT's ruling

If the taxpayer withdraws the judicial claim or reaches a collection agreement following a notarial requirement, they must increase the tax base. This modification is carried out through the issuance of a corrective invoice within one month from the withdrawal or the agreement. However, if the process concludes through a judicially approved settlement agreement, the upward modification shall not apply. Communication to the AEAT for this upward modification due to agreement and withdrawal is not mandatory.

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