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V1381-23 23 May 2023 · SG de Impuestos sobre el Consumo Criterion in force
IVA · base imponible

Waste disposal tax must be included in the VAT taxable amount for landfill services

A consortium has requested a ruling on whether the waste disposal tax, paid by a commercial company as a substitute taxpayer, should be included in the VAT taxable amount for invoiced landfill services. The DGT has ruled that it must be included, as there is a direct link between the tax and the service provided.

The question raised

Whether the amount of said tax should form part of the Value Added Tax taxable base for the services invoiced by said entity to the taxpayer.

The DGT's ruling

The amount of the tax on waste disposal in landfills, incineration, and co-incineration must form part of the VAT taxable base for landfill services. This is because the commercial entity acts as the taxable person for the tax in its own name (as a substitute) and not on behalf of the client. There is a direct link between the taxable event of the tax and the landfill service provided, which requires its integration into the consideration.

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