Changes to the use and enjoyment rule in Spain
Following approval from the Spanish State’s Budget for 2023, the most significant changes include reducing the scope of the use and enjoyment rule in B2B transactions, meaning that the rule will now mostly apply to B2C transactions.
In B2B supplies:
In B2B transactions, the use and enjoyment rule will now only apply to certain VAT-exempt services. Generally, this will refer to the supply of finance and insurance services. However, leasing of means of transport also remains within the scope of the rule.
In B2C supplies:
The use and enjoyment rule will now also include the supplies of intangible B2C services (if the final customer is not established in the EU) when the consumption of the service takes place in Spain. Intangible services include the transfer of copyrights, financial and banking services, data processing, consultancy services, advertising services, hiring of moveable property, access to electricity and gas and supply of staff.
Source VATit
Latest Posts in "Spain"
- Spanish Government Clarifies Regulations on Computerized Invoicing Systems and Pre-Invoicing Document Compliance
- VAT IT eezi webinar – European E-Invoicing Spotlight: Greece, Poland, Croatia & Spain (Nov 27)
- New Revision 1.20 of AES Export Declaration Guide Published for Enhanced Customs Communication
- Briefing document & Podcast: E-Invoicing in Spain
- EU Regulation 2025/1728 Amends Origin Proof Procedures, Extends PEM Convention Rules Retroactively
