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A designer inquires about the classification of her sales of drawings through a digital platform. The DGT determines that downloadable files are services provided by electronic means and that personalized designs sent by email are not.
Question raised 1st Classification and taxation of the operations for Value Added Tax purposes and, where applicable, whether the settlements issued by the platforms are sufficient for the purposes of invoicing the operations.
The delivery of downloadable digital files constitutes a service provided by electronic means. Personalized designs sent by email are not considered services provided by electronic means and could be exempt if classified as professional services of visual artists. Taxation will depend on the location of the recipient and whether the platform acts on its own behalf or on behalf of another.
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