Spain's VAT rate remains the same post Budget

14 May 2012

Following the recent Budget, there was no change announced to the VAT rate in Spain. The standard rate remains at 18%.

There is new guidance on foreign companies’ distributing goods in Spain. A court case in Spain has decided that if a non-resident business also has a separate subsidiary in Spain, it can be deemed that the non-resident company does have a permanent establishment on its trading and that its subsidiary is now considered a dependent agent.

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