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V1983-17 21 July 2017 · SG de Impuestos sobre el Consumo Criterion in force
IVA · entrega de bienes

Supplies of goods destined for or located within free zones are exempt from VAT

A query was raised regarding the taxation of a chain of goods transfers where the final purchaser operates within a free zone. The DGT determines that the transactions are exempt from VAT provided the requirements for introduction into or remaining within said zone are met.

The question raised

Taxation of the described transfer operations.

The DGT's ruling

The supply of goods intended to be introduced into a free zone or the supply of goods located therein are exempt from VAT pursuant to Article 23 of Law 37/1992. For the first transfer, the exemption requires proof of introduction into the free zone in accordance with customs regulations and that the acquirer provides a signed declaration regarding the status of the goods. The second transfer, carried out by the applicant to an entity within the free zone, is also exempt due to the location of the goods.

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