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V2247-22 26 October 2022 · SG de Impuestos sobre el Consumo Criterion in force
IVA · territorio de aplicación del impuesto

Sales of products in Cuba without exit from the territory are not subject to Spanish VAT

The DGT determines that online sales of goods to Cuban residents without physical export are not subject to VAT due to the absence of activity within the tax territory.

The question raised

Whether the operations consulted are subject to Value Added Tax and whether the consultant must issue an invoice, and if so, who is the recipient of the invoice to be issued.

The DGT's ruling

The supplies of goods are not subject to VAT as they are not considered to be made within the territory to which the tax applies, since the goods are not located therein at the time they are made available to the acquirer. Nevertheless, if the taxpayer is established in Spain, an invoice must be issued for these transactions. The recipient of the invoice must be the person legally obligated to make the payment, regardless of who effects the actual payment.

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