Spain VAT Registration
Registering for VAT is a mandatory legal process in many countries, including Spain, for businesses that satisfy specific criteria. In Spain, companies are obligated to register for VAT with the State Tax Agency either within 30 days of initiating their operations or before conducting their first taxable transaction, depending on which occurs first.
If you are storing your goods in Spain you will also require a Spanish VAT registration.
Register for VAT in Spain
Optional Registration
In Spain, voluntary registration for VAT is generally not an option. This is because all individuals or entities that engage in taxable transactions are mandated to register for VAT.
Registration Exemptions
Exemptions from registration are granted to individuals not participating in any commercial or professional activities. Nevertheless, certain individuals involved in particular types of activities, especially those exempt from VAT, might have the opportunity to opt for simplified VAT regimes. These regimes aim to streamline their VAT registration and compliance processes or may even allow them to be completely exempt from registration.
Group and Subsidiary Registration
Spain offers a VAT grouping option, which is a special regime available under certain conditions. It requires the consent of the board of directors or a comparable executive body of each entity within the group. As a result, some entities in the group might choose to participate in this regime while others may not.
Selling into Spain?
Registration requirements
The assignment of a VAT number, with certain exceptions, is applicable to the following individuals or entities:
- Entrepreneurs or professionals, whether based in the area where Spanish VAT is applicable or not, who are involved in the supply of goods or make intra-community acquisitions of goods that are subject to tax.
- Entrepreneurs or professionals who are the recipients of services provided by entrepreneurs or professionals not established in the Spanish mainland or the Balearic Islands, for which they are the VAT taxpayers (using the Reverse Charge Mechanism).
- Entrepreneurs or professionals who offer services.
- Legal entities not functioning as entrepreneurs or professionals, when they make intra-community acquisitions of goods subject to VAT.
To register for a VAT ID, several documents must be prepared in advance to prevent delays in the application process:
- A Power of Attorney (POA) from your local agent in Spain, which must be notarized and Apostilled in the Spanish language.
- An official extract from your company’s national trade register, which also needs to be notarized, Apostilled, and officially translated into Spanish.
For sole traders, the passport must be notarized, Apostilled, and officially translated into Spanish as well.
Last Updated: 12/12/2023
Disclaimer
The information provided by Global VAT Compliance B.V. on this webpage is intended for general informational purposes only. Global VAT Compliance B.V. is not responsible for the accuracy of the information on these pages, and cannot be held liable for claims or losses deriving from the use of this information. If you wish to receive VAT related information please contact our experts at support@gvc.tax
