Spanish rule change
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16th January 2015
Spain has now introduced an import
VAT postponement scheme from 1 January 2015. The new Spanish VAT scheme
allows
the importer to wait to pay back the Spanish import VAT until the next
VAT
return due date. Previously importers had to pay import VAT at the
moment of
importation in order to clear the goods through Spanish Customs and
then claim
the VAT in the next VAT return period. This has a significant impact on
cash
flow.
As of January 1st 2015 the
change allows certain businesses to pay and recover the VAT related to
imports
directly on the periodical VAT return. As a result, there will be no
direct
payment at the moment of importation.
Unfortunately the deferment
scheme will not apply to all businesses as it is restricted to those
filing
monthly Spanish VAT returns. This means that it is restricted to large
companies who have to file monthly VAT returns under Spanish VAT law,
VAT group
members and businesses that are on monthly repayment returns.
If you or
your client imports goods into other EC member states it would be worth
contacting our free VAT helpline for advice. In addition it may well be
worth
speaking to our sister business The Customs People to establish if
there are
any Customs Duty implications to consider
About the Author
The
VAT People are leading VAT and Customs Duty
consultants based in the
North West of England. We work with a wide range of businesses
throughout the UK as well as assisting our accountancy colleagues to
unravel the thorny VAT issues for their clients. We are one of the UK's
largest and most comprehensive sources of VAT and Customs advice, our
consultancy team having over 140
years of experience in VAT and Customs
gained in either HMRC or a Big 4 accountancy practice environment.
Call us on our VAT helpline 0800 077 4604 to discuss. All initial discussions are free with no-obligation.
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Article Published/Sorted/Amended on Scopulus 2015-01-26 10:13:04 in Tax Articles
