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V2209-25 18 November 2025 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo impositivo

4% VAT on olive pit to oil transformation; 10% on seed to other oils

A farmer asks which VAT rate applies to the transformation of olives into olive oil and seeds into other oils. The DGT responds that the rate depends on the resulting product.

The question raised

Question raised For the purposes of Value Added Tax, the applicable tax rate is questioned regarding the services that would be provided using one's own mill for the processing of olives into olive oil. And, whether the taxation of said services differs according to the status of the recipient. As well as, the tax rate applicable to the processing of seeds into another type of oil other than olive oil.

The DGT's ruling

Olive transformation services into olive oil are taxed at 4% as this is the rate applicable to the product obtained as an immediate result. The transformation of seeds into oils other than olive oil is taxed at 10% as these are products suitable for human nutrition. These rates are applied regardless of the status of the service recipient.

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What is published here, applied to a company or a specific case. The first meeting is free.

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