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V0390-26 25 February 2026 · SG de Impuestos sobre el Consumo Criterion in force
IVA · comisión de venta

Public sale price is deemed to include VAT unless otherwise agreed

A municipality asks whether VAT should be charged on the sale price of mugs or if it is already included. The DGT states that if the agreed amount is the public sale price, it is deemed to include VAT, unless otherwise stated.

The question raised

Whether, for the purposes of settlement, Value Added Tax must be charged on the agreed amount or whether the same must be understood to be included in the retail price.

The DGT's ruling

If the agreed amount is the retail price, it is presumed to include VAT. In sales commission operations where the commission agent acts in their own name, there are two taxable supplies of goods. The taxable base for the transfer from the principal to the commission agent shall be the agreed consideration less the commission. In both cases, VAT must be charged at the general rate of 21% on the corresponding taxable base.

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