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V2967-16 27 June 2016 · SG de Impuestos sobre el Consumo Criterion in force
IVA · sujeto pasivo

VAT deduction from corrective invoices for previous years permitted after cessation of activity

A company inquired whether it could claim a VAT refund for previous financial years following the issuance of corrective invoices after ceasing its business activities. The Directorate-General for Taxes (DGT) ruled that the cessation of activity does not automatically remove the status of taxable person for the purpose of deducting tax amounts directly related to the previous activity.

The question raised

Method of requesting the deduction and refund of the Tax.

The DGT's ruling

The status of taxpayer is not lost by the mere cessation of activity if expenses directly related to it are incurred. In this case, the consultant may deduct the amounts supported by corrective invoices from their suppliers. To do so, they must submit the corresponding return (form 303) and request a refund pursuant to Law 37/1992.

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