Through Form 368 the company must inform the tax authorities of the VAT charged on their telecommunications, radio and television broadcasting or electronically supplied services, even if there has been no activity.
Legislation on telework in Spain is regulated by the Workers’ Statute and offers many advantages as well for companies (working life) as employees (social welfare). Its main aim is to reduce costs in physical infrastructure investments.
A tax offense occurs when the amount defrauded exceeds 120.000€, while if the amount is less, it would only be considered a tax infringement.
The non-payment or the delay in the collection of the invoices supposes a very important problem of liquidity for the companies, which choose to try to recover the VAT of the credits that turn out to be failed as an alternative to the current crisis.
In a Temporary Employment Regulation Proceeding due to force majeure (ERTE due to force majeure in Spain), an employee’s contract is suspended meaning they do not go to work and the company stops paying them their salary.