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V2524-14 26 September 2014 · SG de Impuestos sobre el Consumo Criterion in force
IVA · recargo de equivalencia

Registration required for multiple IAE headings and exclusion of construction materials from the equivalence surcharge

A trader sought clarification on which IAE headings applied to the sale of plumbing accessories, water heaters, and sanitaryware, and how this affected the equivalence surcharge. The DGT ruled that registration is required under three distinct headings and that construction materials are excluded from this special regime.

The question raised

Correct heading of the Tax on Economic Activities.

The DGT's ruling

For the described activity, the taxpayer must register under headings 653.2, 653.3, and 653.4 of the IAE. Regarding VAT, the equivalence surcharge shall apply to the supply of goods in the same state as they were acquired, except for construction materials (bathtubs, washbasins, toilets, faucets, and pipe accessories), which shall be taxed under the general regime.

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