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V3331-23 28 December 2023 · SG de Impuestos sobre el Consumo Criterion in force
OTRO · ipsi

The supply of electricity to end consumers is not subject to IPSI if it has already been taxed at the acquisition stage

A Port Authority of Melilla inquired whether the resale of electricity to its customers was subject to IPSI and which rate applied. The DGT responds that the supply to end users is not subject to the tax because it is taxed in a single stage when invoiced to the distributors.

The question raised

Question posed: Whether the aforementioned supply of electricity carried out by the inquiring entity to its customers is subject to the Tax on Production, Services and Import and, where applicable, the applicable tax rate.

The DGT's ruling

The consumption of electricity constitutes the taxable event for IPSI and is taxed in a single stage when invoiced by the distribution companies. Therefore, the supply of electricity carried out by a third party to end consumers is not subject to IPSI, as it has already been taxed at the stage of its acquisition from the distribution entity. In the event that the operation were subject to the tax, the applicable rate would be 1% as the supply is an accessory element to the consumption of energy.

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