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V2627-17 13 October 2017 · SG de Impuestos sobre el Consumo Criterion in force
IVA · servicios financieros

Obligation to issue invoices for exempt financial services provided in national territory

A company providing loans for online purchases has enquired whether it must issue invoices for its exempt financial services. The DGT has ruled that, as it is not a credit institution, it is obliged to issue invoices when the services are deemed to be provided within the scope of the tax.

The question raised

1. Obligation to invoice the financial services provided which, pursuant to Article 20.One.18 of Law 37/1992, are exempt from Value Added Tax.

The DGT's ruling

Entities that are not credit institutions are required to issue an invoice for their exempt financial services (Art. 20.One.18 of the VAT Law) when they are deemed to be performed within the territory of application of the tax, the Canary Islands, Ceuta, or Melilla. This obligation exists regardless of whether the recipients are entrepreneurs or professionals. For transactions amounting to less than 400 euros, the obligation may be fulfilled by means of a simplified invoice.

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