The not yet officially presented Spanish budget plan for 2021 shows that the Sánchez government will increase the VAT rate on sweetened drinks from 10 to 21 percent from next year. The measure is intended to contribute to a healthier lifestyle for Spaniards, especially children.
The measure is part of a broader package of tax increases for all foods that are harmful to the environment, individual health or society in general. The plan to increase the VAT on sugary drinks has been on the table for years, but it has never been approved. In 2018, the then minister Cristobál Montoro made another attempt, but his proposal was thwarted by the sugar industry, the website Inspanje.nl reports.
Next year, a so-called Google tax, a tax on digital services, and a tax on financial transactions, the ‘tobin tax’, will also come into force in Spain. In addition, next year, following the European directives, there will be environmental taxes and, for example, plastic disposable packaging will be subject to extra tax.
Source Taxlive.nl
See also Spain raises VAT rate on soft drinks to 21 percent
Latest Posts in "Spain"
- AEAT Publishes Technical Guidance on the Public Electronic Invoicing Solution (SPFE) for Mandatory B2B E-Invoicing
- VAT Tax Base Adjustment: Rectified Invoice Issuance and Delivery Requirement is Essential
- VAT Deductibility for Activities Outside Corporate Purpose
- Visual Artists Protest for Fair Cultural VAT in Madrid
- Spain Reveals Hybrid 5-Corner B2B E-Invoicing Mandate and Validation Rules
