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V5459-26 11 August 2026 · SG de Impuestos sobre el Consumo Criterion in force
IVA · tipo reducido

Reduced 10% VAT rate applies to fertilisers suitable for agricultural, forestry or livestock use

A fertiliser manufacturer has requested clarification on the applicable VAT rate for its sales. The DGT has ruled that a 10% rate applies if the product is suitable for agricultural, forestry or livestock use, whereas a 21% rate applies if it is for mixed use or gardening.

The question raised

For the purposes of Value Added Tax, the applicable tax rate for the sale of fertilizers is questioned.

The DGT's ruling

To apply the 10% rate to fertilizers, two requirements must be met: that the product is considered a fertilizer, organic residue, corrector, or amendment, and that due to its characteristics, packaging, and state, it is suitable for direct, habitual, and appropriate use in agricultural, forestry, or livestock activities. If the product is susceptible to mixed use between agricultural and gardening activities (cultivation without business purposes), the general rate of 21% shall apply.

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