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V3137-20 20 October 2020 · SG de Impuestos sobre el Consumo Criterion in force
IVA · swap de materias primas

Non-physical commodity swap contracts are exempt from VAT as financial services

A company has requested a ruling regarding the VAT liability and exemption of an energy and commodity swap contract settled by differences. The DGT has determined that, provided there is no physical delivery of the underlying asset, the transaction constitutes an exempt supply of financial services.

The question raised

1) Liability and, where applicable, exemption of the settlement of the swap contract by differences for Value Added Tax purposes.

The DGT's ruling

If the swap contract is not intended to involve the physical delivery of the raw material, it is considered a provision of financial services. These operations are subject to VAT but are exempt pursuant to Article 20.one.18 of Law 37/1992. For the calculation of the pro rata, the taxable base shall be determined solely by the capital gain obtained, without including capital losses.

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