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V3179-18 13 December 2018 · SG de Impuestos sobre el Consumo Criterion in force
IVA · prestación de servicios

Storage and logistics services for non-resident clients are not subject to VAT, unless there is a permanent establishment or exclusive space allocation

A logistics company has requested clarification on whether storage and inventory management services provided to a non-resident EU client are subject to VAT. The DGT has ruled that they are not, provided the client does not maintain a permanent establishment within the territory.

The question raised

Liability for Value Added Tax regarding the storage service subject to this inquiry.

The DGT's ruling

Storage, inventory control, and logistics services are not subject to VAT if the recipient does not have the registered office of their activity, a permanent establishment, or a domicile in Spain. For a permanent establishment to exist, the client must possess a structure with sufficient human and technical resources and a degree of permanence. The mere receipt of these services does not imply having a permanent establishment, unless the client is the owner or lessee of a fixed and specific part of the warehouse. If an exclusive physical space were ceded, the service would constitute a real estate lease subject to tax.

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