Back to index
V0721-21 26 March 2021 · SG de Impuestos sobre el Consumo Criterion in force
IVA · mediación

Mediation services to United Kingdom companies may be subject to VAT if their effective use or exploitation takes place in Spain

A commercial agent asks whether their commissions for mediating sales for a British company in Spain are subject to VAT. The DGT explains that, although the general rule places the operation outside of Spain, it could be taxed if there is an effective use or exploitation of the services within Spanish territory.

The question raised

Question posed: Taxation of the operation for Value Added Tax purposes.

The DGT's ruling

Mediation services rendered on behalf of and for the account of a third party to an entrepreneur outside the European Union may be considered to be performed in Spain if their effective use or exploitation occurs within Spanish territory. To determine this, it must be verified whether the operations in which the service is involved are located in Spain and whether there is a direct or indirect relationship between the service and said operations. The analysis of this effective use must be conducted on a case-by-case basis.

Email
Contact