To register for REDEME, businesses must meet certain requirements, including the obligation to submit information on their issued and received invoices to the Tax Agency via the Immediate Supply of Information (SII).
Correctly declaring Intra-Community VAT is not just a legal obligation but also a best practice that protects businesses from sanctions and contributes to a more transparent and fair European market.
The administrators become responsible for ensuring that everything related to the company is in order, protecting the assets and complying with legal obligations to avoid penalties.
These regulations, the Invoice Systems Regulation RD 1007/2023 and the Future Electronic Invoicing Regulation, which enhance administrative efficiency and hinder tax fraud, affect both companies and the self-employed.
A company may recover the amount of input VAT, either fully or partially, through the relevant tax return, depending on the nature of the transaction and other factors.