TEAC Resolution: Effective Use of Services for VAT in EU Member States

• TEAC resolution dated 25/01/2024
• Issue regarding the place of provision of promotion and advertising services for VAT purposes
• Amendment of article 70.2 of the VAT Law by Law 31/2022
• Directive 2006/112/EC allows Member States to use the effective use or exploitation clause to prevent competition distortions and double taxation
• Article 70.2 of the VAT Law is in line with this directive
• Refers to previous criteria in R.G. 00-5793-2020 (26-01-23)
• References to relevant laws and directives
• Concepts include taxable event, VAT, applicable regulations, service provision, and advertising

Source: serviciostelematicosext.hacienda.gob.es

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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