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V2668-17 19 October 2017 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IVA · sujeción al impuesto

Purchases from occasional collectors are not subject to VAT nor do they require IRPF withholding

A fruit and vegetable company inquires about the application of VAT and withholdings when purchasing products from occasional collectors who are not business entities. The DGT responds that these operations are not subject to VAT and that there is no obligation to withhold IRPF as they constitute capital gains.

The question raised

In relation to purchases from persons who are not business entities:

The DGT's ruling

The supply of goods by occasional collectors outside of a business or professional activity is not subject to VAT. There is no obligation to perform IRPF withholdings because the income does not derive from an economic activity, but is instead classified as a capital gain, which is not subject to withholding according to the IRPF Regulations. The expense must be substantiated by any means of proof admitted in law.

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