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V0071-16 13 January 2016 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo impositivo reducido

VAT refund for vehicles for persons with reduced mobility unavailable when moving residence to a third country

A taxpayer who purchased a vehicle at the reduced 4% VAT rate for persons with reduced mobility has enquired whether they can recover this VAT when moving to Switzerland and paying tax there. The Directorate-General for Taxes (DGT) has ruled that Spanish regulations do not provide for the refund of VAT incurred for this reason when changing residence to a third country.

The question raised

Possibility of obtaining a refund of the VAT paid in one of the two countries.

The DGT's ruling

The Value Added Tax regulations do not provide for the refund of tax incurred in Spain for the acquisition of a vehicle for persons with reduced mobility due to a change of residence to a third country. Furthermore, the DGT lacks the competence to determine the applicability or refund of VAT in Switzerland, as it is not a European Union country.

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