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V1908-14 15 July 2014 · SG de Impuestos sobre el Consumo Criterion in force
IVA · lugar de realización

Canarian company's peninsula deliveries subject to VAT

A Canary Islands company without a peninsula establishment seeks clarification on VAT applicability for goods and services purchased on the peninsula. The DGT determines which transactions are taxable under location rules and which VAT return regime applies.

The question raised

1st Liability for Value Added Tax on the following operations acquired by the taxpayer from entrepreneurs located in the territory of application of the Tax:

The DGT's ruling

The printing of brochures is considered a supply of goods subject to VAT if the conditions of the CJEU case law are met. Accommodation, catering, and hall rental services in hotels are subject to the tax as the establishments are located within the territory of application. Notary services, advisory services, and vehicle renting are not subject to the tax. The Canarian company may apply the special refund regime under Article 119 of Law 37/1992 if the requirements are met.

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