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V0524-17 1 March 2017 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo impositivo

10% VAT rate applied to the importation of cochineal food colouring

A company has requested clarification regarding the VAT rate applicable to the importation of cochineal food colouring. The Directorate-General for Taxes (DGT) has ruled that the reduced rate of 10% applies.

The question raised

Applicable tax rate.

The DGT's ruling

Carmine from cochineal is subject to a 10% VAT rate if, whether directly or mixed, it is capable of being used in a regular and suitable manner for the production of products intended for human or animal nutrition. This criterion applies regardless of the use to which the purchaser applies the product.

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