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V2023-17 26 July 2017 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo reducido

Newspaper supply subject to 4% reduced VAT rate if not primarily advertising-based

A hospitality business owner inquired about the VAT rate applicable to the daily supply of two newspapers. The DGT ruled that the 4% reduced rate applies provided that the newspapers do not consist primarily of advertising.

The question raised

Taxation of the supply of newspapers as described in Value Added Tax.

The DGT's ruling

The reduced rate of 4% applies to the supply of newspapers that do not contain advertising as their sole or principal content. They are understood to contain advertising as their principal content when more than 75 percent of the publisher's income derives from this concept.

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