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Property owners in Spain – who are not residents – are also taxed and must, therefore, declare the income obtained in Spanish territory by means of Tax Form 210. Non-resident income tax (IRNR).

The Council of the European Union has adopted Directive (EU) 2018/1713 of the COUNCIL, of 6 November 2018 (OJ of 14 November), regarding the rates of value added tax applied to books, newspapers and periodicals, which helps align the VAT rules applicable to e-publications with the rate applicable to publications supplied on physical means of support. As of now, Member States have the possibility of also applying reduced, super-reduced or zero rates to electronic publications (reduced VAT for electronic publications).

The rules and grounds of Tax Form 202 established in Royal Decree 634/2015 of 10 July, approving the Regulations of Corporation Tax. The Tax Form 202 is used to make payments on account of the Corporation Tax in Spain for both natural and legal persons, whether they are residents or not, provided they have a permanent establishment in national territory.

Intra-Community triangular operations (ITO) are performed among three companies located in three different countries. Thus, Company B (intermediary, Country 2) purchases goods from Company A (supplier, Country 1), to be in turn resold to Company C (final customer, Country 3), so that the product will be transported directly from the country of the supplier to that of the final customer, without entering the country of Company B.

The refund of VAT incurred in the country of origin (cross-border VAT recovery in Spain) is a highly interesting advantage and yet quite unknown to most businesses.

Tax debts in Spain undergoing a voluntary or enforceable payment period may be deferred or paid by instalments, after having submitted the taxpayer’s application, if a business’ financial position prevents it from making payments within the terms required by the Revenue Office.

The deductibility of subsistence allowances and travel expenses in Spain entails important savings for companies or self-employed workers. However, this requires compliance of a series of conditions and document requirements that need to be taken into account, which we describe in this article. We shall explain all the aspects pertaining to subsistence allowances and transportation costs, food and board, according to the two most relevant taxes for companies in Spain, Corporate Tax and Value-Added Tax.