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V0671-16 18 February 2016 · SG de Tributos Locales Criterion in force
OTRO · impuesto sobre actividades económicas

Online sale of electrical goods with physical storage deemed permanent establishment

A company asks whether online sales of electrical goods should be taxed as trade with or without a permanent establishment. The DGT responds that the presence of a physical space for connection and storage constitutes a permanent establishment.

The question raised

The taxpayer wishes to know whether said activity is considered retail trade carried out through a permanent establishment, or if, conversely, due to the lack of a shop open to the public, it should be registered as retail trade outside of a permanent establishment.

The DGT's ruling

E-commerce activities must be taxed according to the true nature of the activity, depending on the seller's conditions and the method of sale. If there is a specific physical space for connection and storage of items, such space is considered a premises. Therefore, the activity must be classified as retail trade carried out through a permanent establishment.

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