Doctrine by topic · DGT Observatory

Express Mandate: 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 36 rulings · 2014–2025

Current position

For payments not to be included in the VAT (IVA) taxable base, four requirements must be met: acting on behalf and for the account of the client with the invoice issued in their name, the existence of an express mandate, the amount must exactly match the expense, and the intermediary must not be able to deduct the tax levied on said expense. If the invoices are issued to the intermediary, it is considered a rebilling of services subject to VAT.

The DGT's position has remained constant since 2014. Throughout the rulings, the need to comply with the four requirements for the consideration of disbursements (suplidos) has been systematically reiterated. No changes in the interpretation of the rule are observed, but rather a continuous confirmation of the same criteria.

Analysis based on 36 of 36 rulings with a stated position. Updated 23 September 2026.

Rulings on this topic

24

V0256-25 5 Mar 2025

Fees paid by a firm on behalf of a client may be treated as supplies if certain conditions are met

SG de Impuestos sobre el Consumo

suplidosbase imponiblemandato expresocontraprestaciónsujeto pasivo LIVA — Ley 37/1992 del IVA art. 78LIVA — Ley 37/1992 del IVA art. 88

Affects CompanyExpat · Non-residentIndividual

V0069-24 15 Feb 2024

Industry department fees must be included in the VAT taxable amount for inspection services

SG de Impuestos sobre el Consumo

base imponiblesuplidoscontraprestaciónvínculo directohecho imponible LIVA — Ley 37/1992 del IVA art. 4.1LIVA — Ley 37/1992 del IVA art. 5.1

Affects CompanyExpat · Non-residentIndividual

V2926-23 31 Oct 2023

Provision of funds may be an advance payment subject to VAT or a disbursement not subject to tax

SG de Impuestos sobre el Consumo

pago anticipadosuplidodevengobase imponiblemandato expreso LIVA — Ley 37/1992 del IVA art. 75.2LIVA — Ley 37/1992 del IVA art. 78.3.3º

Affects CompanyExpat · Non-residentIndividual

V2709-23 6 Oct 2023

Recharged supplies may be treated as disbursements or part of a single supply depending on their nature

SG de Impuestos sobre el Consumo

suplidosrefacturación de gastosbase imponibleprestación accesoriaprestación única LIVA — Ley 37/1992 del IVA art. 4.1LIVA — Ley 37/1992 del IVA art. 4.2

Affects CompanyExpat · Non-residentIndividual

V1235-23 10 May 2023

Right to charge VAT expires one year after accrual, unless voluntarily accepted by the recipient

SG de Impuestos sobre el Consumo

devengorepercusiónsuplidosbase imponiblemandato expreso LIVA — Ley 37/1992 del IVA art. 4LIVA — Ley 37/1992 del IVA art. 5

Affects CompanyExpat · Non-residentIndividual

V2351-22 14 Nov 2022

Incineration or burial services paid on behalf of a client may be treated as disbursements

SG de Impuestos sobre el Consumo

suplidosbase imponiblemandato expresorefacturaciónincineración LIVA — Ley 37/1992 del IVA art. 78.3LGT — Ley 58/2003 General Tributaria art. 89.1

Affects CompanyExpat · Non-residentIndividual

V2273-22 27 Oct 2022

Recharging independent expenses constitutes a service subject to 21% VAT

SG de Impuestos sobre el Consumo

suplidosrefacturación de gastosbase imponibleprestación de serviciosmandato expreso LIVA — Ley 37/1992 del IVA art. 78.3LIVA — Ley 37/1992 del IVA art. 78.1

Affects CompanyExpat · Non-residentIndividual

V0390-22 28 Feb 2022

Expenses paid on behalf of end customers cannot be included as disbursements in the dealer's invoice

SG de Impuestos sobre el Consumo

suplidosbase imponiblemandato expresodestinatario del serviciorepercusión del impuesto LIVA — Ley 37/1992 del IVA art. 78LIVA — Ley 37/1992 del IVA art. 88

Affects CompanyExpat · Non-residentIndividual

V0166-22 3 Feb 2022

The rebilling of water expenses is not a payment on behalf of a third party and is subject to VAT at 21%

SG de Impuestos sobre el Consumo

suplidosrefacturación de gastosbase imponibleprestación de serviciosmandato expreso LIVA — Ley 37/1992 del IVA art. 78.3LIVA — Ley 37/1992 del IVA art. 78.1

Affects CompanyExpat · Non-residentIndividual

V0162-22 3 Feb 2022

Payment for vehicles by a financial institution on behalf of a dealership may be considered a disbursement not subject to VAT

SG de Impuestos sobre el Consumo

suplidosdevengoprenda sin desplazamientomandato expresono sujeción LIVA — Ley 37/1992 del IVA art. 75.Uno.1ºLIVA — Ley 37/1992 del IVA art. 78.Tres.3º

Affects CompanyExpat · Non-residentIndividual

V3049-21 7 Dec 2021

Recharging electricity costs is not a disbursement and is subject to 21% VAT

SG de Impuestos sobre el Consumo

suplidosrefacturación de gastosbase imponibleprestación de serviciosmandato expreso LIVA — Ley 37/1992 del IVA art. 78.3.3ºLIVA — Ley 37/1992 del IVA art. 78.1

Affects CompanyExpat · Non-residentIndividual

V0523-21 9 Mar 2021

Salaries and social security costs for employees dedicated to a client cannot be treated as disbursements

SG de Impuestos sobre el Consumo

base imponiblesuplidoscontraprestaciónmandato expresorelación laboral LIVA — Ley 37/1992 del IVA art. 78.1LIVA — Ley 37/1992 del IVA art. 78.2.1º

Affects CompanyExpat · Non-residentIndividual

V3436-20 27 Nov 2020

Rebilling of court fees paid in one's own name must include VAT in the taxable amount

SG de Impuestos sobre el Consumo

base imponiblesuplidossujeto pasivomandato expresocontraprestación LIVA — Ley 37/1992 del IVA art. 78.3.3LGT — Ley 58/2003 General Tributaria art. 89.1

Affects CompanyExpat · Non-residentIndividual

V2656-20 14 Aug 2020

Insurance premiums paid on behalf of a lessee may qualify as disbursements if requirements are met

SG de Impuestos sobre el Consumo

suplidosbase imponiblemandato expresotomador del seguroarrendamiento LIVA — Ley 37/1992 del IVA art. 78.UnoLIVA — Ley 37/1992 del IVA art. 78.Dos.1.º

Affects CompanyExpat · Non-residentIndividual

V2655-20 14 Aug 2020

Insurance premiums paid on behalf of clients are excluded from the VAT taxable base if they meet disbursements requirements

SG de Impuestos sobre el Consumo

suplidosbase imponiblemandato expresocontraprestaciónrenting LIVA — Ley 37/1992 del IVA art. 78.UnoLIVA — Ley 37/1992 del IVA art. 78.Dos.1.º

Affects CompanyExpat · Non-residentIndividual

V1338-20 11 May 2020

Traffic fees paid by an agency on behalf of a client may be treated as disbursements not subject to VAT

SG de Impuestos sobre el Consumo

suplidosbase imponiblemandato expresocontraprestacióngestoría administrativa LIVA — Ley 37/1992 del IVA art. 78LGT — Ley 58/2003 General Tributaria art. 89.1

Affects CompanyExpat · Non-residentIndividual

V1048-20 24 Apr 2020

Fees paid on behalf of clients are excluded from the VAT taxable base if they meet disbursements requirements

SG de Impuestos sobre el Consumo

base imponiblesuplidosmandato expresocontraprestacióngestión de tasas LIVA — Ley 37/1992 del IVA art. 78.1LIVA — Ley 37/1992 del IVA art. 78.2

Affects CompanyExpat · Non-residentIndividual

V2135-19 13 Aug 2019

Recharging of expenses by a local council to a commercial entity is subject to VAT

SG de Impuestos sobre el Consumo

refacturación de gastosbase imponiblesuplidosprestación de serviciostipo impositivo LIVA — Ley 37/1992 del IVA art. 4.1LIVA — Ley 37/1992 del IVA art. 5.1

Affects CompanyExpat · Non-residentIndividual

V0696-19 28 Mar 2019

Expenses paid in one's own name are not disbursements and must be included in the VAT taxable amount

SG de Impuestos sobre el Consumo

base imponiblesuplidosmandato expresosuministro inmediato de informaciónlibros registro LIVA — Ley 37/1992 del IVA art. 78Reglamento del Impuesto sobre el Valor Añadido

Affects CompanyExpat · Non-residentIndividual

V1308-18 18 May 2018

Driving licence fees paid by driving schools on behalf of students are disbursements and do not form part of the taxable base

SG de Impuestos sobre el Consumo

suplidosbase imponiblemandato expresocontraprestaciónmodelo 791 LIVA — Ley 37/1992 del IVA art. 78LGT — Ley 58/2003 General Tributaria art. 89.1

Affects CompanyExpat · Non-residentIndividual

V0828-18 26 Mar 2018

Fees paid by driving schools on behalf of clients may be treated as disbursements rather than part of the VAT taxable base

SG de Impuestos sobre el Consumo

suplidosbase imponiblemandato expresocontraprestacióngestión de tasas LIVA — Ley 37/1992 del IVA art. 78LGT — Ley 58/2003 General Tributaria art. 89.1

Affects CompanyExpat · Non-residentIndividual

V0013-18 6 Jan 2018

Fees paid on behalf of homeowners' associations may be excluded from the VAT taxable base if they meet disbursements requirements

SG de Impuestos sobre el Consumo

suplidosbase imponiblemandato expresosujeto pasivodeducción del impuesto LIVA — Ley 37/1992 del IVA art. 78.tres.3ºLGT — Ley 58/2003 General Tributaria art. 89.1

Affects CompanyExpat · Non-residentIndividual

V3166-17 11 Dec 2017

Cruise stay tax may be treated as a disbursement for VAT purposes if certain requirements are met

SG de Impuestos sobre el Consumo

suplidosbase imponibleprestación de serviciostransporte de pasajerosexención LIVA — Ley 37/1992 del IVA art. 4LIVA — Ley 37/1992 del IVA art. 5

Affects CompanyExpat · Non-residentIndividual

V2296-17 8 Sept 2017

Recharged travel expenses form part of the taxable base and are subject to VAT at the main activity rate

SG de Impuestos sobre el Consumo

base imponiblesuplidoscontraprestaciónmandato expresogastos reembolsables LIVA — Ley 37/1992 del IVA art. 78.1LIVA — Ley 37/1992 del IVA art. 78.2.1º

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.

Contact