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V1943-24 9 September 2024 · SG de Impuestos sobre el Consumo Criterion in force
IVA · servicios de telecomunicación

Services via foreign SIM cards exempt from Spanish VAT if customer presumed to reside abroad

A company providing SIM cards and customer support to students abroad asks whether its services are subject to Spanish VAT. The DGT determines that, acting in its own name, it provides telecommunications services, and the place of performance depends on the presumed country of the SIM number.

The question raised

1. Place of supply of the services provided by the requesting entity for Value Added Tax purposes.

The DGT's ruling

In telecommunications services provided via mobile networks to end consumers, it is presumed that the customer is established in the country identified by the mobile phone code of the SIM card used. If the SIM is from a country other than Spain, it shall be presumed that the customer is in said country and the services shall not be subject to VAT in Spanish territory, unless other evidence is available.

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