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V3273-15 26 October 2015 · SG de Impuestos sobre el Consumo Criterion in force
IVA · localización de las entregas

Online sales of parapharmaceutical products to third countries and the EU are subject to rules of localisation and exemption

An online retail company has requested clarification regarding the application of VAT on its sales to private individuals in Spain, the European Union, and third countries. The DGT clarifies that sales within Spain are taxed under the general regime, exports to third countries are exempt subject to specific requirements, and sales to the EU are governed by the distance selling rules.

The question raised

Liability for Value Added Tax regarding the aforementioned operations.

The DGT's ruling

Sales within the national territory are located in Spain and are taxed at the general or reduced rate depending on the product. Sales to third countries are exempt provided that the requirements for the effective exit of goods are met and supporting documentation is maintained. Sales to private individuals in the EU are not intra-Community supplies and are governed by the distance selling regime. If the taxpayer is under the equivalence surcharge regime, they must issue an invoice for exports and for sales to the EU that are considered to be located in Spain.

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