Doctrine by topic · DGT Observatory

Public Entities: DGT doctrinal evolution

How the DGT's position on this topic has evolved, and the rulings it rests on.

← DGT Observatory

How the DGT's position has evolved

Settled doctrine High confidence 10 rulings · 2014–2024

Current position

In operations with public entities, it is understood that economic proposals already include VAT. The tax must be broken down as a separate item in collection documents without increasing the total contracted amount. In other cases, the inclusion of VAT depends on what is expressly agreed upon in the contract.

The DGT's position has remained constant since 2019 regarding the inclusion of VAT in economic proposals for public entities. The rulings from 2019, 2020, and 2021 reiterate that the tax must be itemized without increasing the global price. No changes in this criterion are observed, but rather a consolidation of the rule.

Turning points

  1. V0943-19

    Establishes that for services destined for public entities, economic proposals include VAT, which must be broken down as a separate item without increasing the total amount.

Analysis based on 9 of 10 rulings with a stated position. Updated 28 September 2026.

Rulings on this topic

10
V0901-24 23 Apr 2024

Leasing of land for carbon sink use is exempt from VAT

SG de Impuestos sobre el Consumo
sumideros de carbonoarrendamiento de terrenosexención de IVAactividad forestalprestación de servicios LIVA — Ley 37/1992 del IVA art. 4.unoLIVA — Ley 37/1992 del IVA art. 5.Uno
Affects CompanyExpat · Non-residentIndividual

Apply this to your case

VAT advisoryTalk to the team applying this doctrine daily.
Talk to the tax teamWe check whether this criterion affects you and what it means in your situation.
Email
Contact