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V0999-22 5 May 2022 · SG de Impuestos sobre el Consumo Criterion in force
IVA · exención

Transport services to freight forwarders may be VAT exempt if acting on behalf of the exporter

A transport company enquired whether its services invoiced to a freight forwarder are exempt from VAT in export operations. The DGT ruled that the exemption is possible if the freight forwarder acts on behalf of the exporter or the purchaser, but not if it acts in its own name as an intermediary.

The question raised

Treatment of the transport service invoiced by the applicant to the freight forwarder for Value Added Tax purposes and the method of proving the exemption, where applicable.

The DGT's ruling

Transport services provided in connection with an export are exempt when the recipient is a freight forwarder, consignee, or customs agent acting on behalf of the exporter or the purchaser. The exemption does not apply if the recipient is an intermediary acting on their own account, or if the freight forwarder acts on their own account on behalf of an intermediary who also acts on their own account. The exit of the goods must be justified by any means of proof admitted in Law, which must be submitted to the provider within a period of three months.

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