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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