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V2323-23 10 August 2023 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo impositivo reducido

VAT rates set at 10% for fat preparations and 5% for olive or seed oils

A consultation was held regarding the VAT rates applicable to fat preparations, oils, and 'duo' products consisting of oil and vinegar. The DGT has determined that fat preparations do not qualify for the temporary reduced rate, whereas olive and seed oils do.

The question raised

For the purposes of Value Added Tax, the applicable tax rate for the following products:

The DGT's ruling

Fat preparations are taxed at 10% as they are not olive or seed oils according to the Food Code. Vinegar is taxed at 10% if it complies with Royal Decree 661/2012, or at 21% if it does not. Olive or seed oils are taxed at 5% due to the temporary reduction under RDL 20/2022. In 'duo' products with a single price, the taxable base of each good is determined proportionally to its market value.

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