Skip to content
Back to index
V1491-24 18 June 2024 · SG de Impuestos sobre el Consumo Criterion in force
IVA · establecimiento permanente

Expenses for a Cuban permanent establishment are VAT-exempt and not to be included in SII

A company asked whether expenses for its office in Cuba (rent, phone, internet, mobiles and food) were subject to Spanish VAT and should be reported in the SII. The DGT responds that these expenses are not subject to Spanish VAT and should not be included in SII records.

The question raised

Liability for Value Added Tax on expenses incurred and invoiced in Cuba and whether they must be included in the books of received invoices for the purposes of the Immediate Supply of Information (SII).

The DGT's ruling

Rental, telephone, and internet expenses of a permanent establishment in Cuba are considered services related to real estate and are not performed within the territory of application of VAT. Mobile telephony and food expenses are governed by the general rules and are not subject to tax as the recipient is an establishment outside of Spanish territory. Therefore, these invoices must not be included in the Immediate Supply of Information (SII).

Book your free first meeting