GET BACK THE FOREIGN VAT

If your company's workers visit clients located in other European Union countries or attend events located in these countries, it is common to have expenses for which VAT has to be paid in the country visited.

This VAT can come in many ways, either by hotels, travel, access to places, etc. In these cases, your company can not deduct the VAT in the statements presented in Spain because it is VAT paid in other countries. However, you can apply for the refund of the VAT  paid through the 360 model that you must submit online. This application must be accompanied by invoices to justify the foreign VAT paid in other countries.

Later, the Spanish government will be the one on behalf of your company to manage the VAT return in the country that endured VAT.

If instead of a European Union territory country, you have traveled abroad and also have supported VAT in other country, depending on the country concerned and of the operations to be performed, it would also be possible to recover VAT.

Thus, in the case of a country with which Spain has signed an agreement of reciprocal treatment, the VAT could be recovered. Specifically, there are agreements with Canada, Japan, Norway, Israel, Monaco and Switzerland. Of course, in these cases, the Spanish government can not manage VAT refunds in your company behalf, but you must do it directly with the tax authorities of these countries.

The documents you must bring in these cases are:

• Original invoices.

• Certificate issued by the Spanish tax authorities to manifest  your company is subject to VAT in Spain.

• You may be required to name a resident in the country as a tax representative that can be jointly liable for VAT refunds.

Therefore, before applying for a VAT refund we advise you to check if the VAT applicable to purchases that are considered in the reciprocity agreement and is in addition to the above, some countries have established specific limitations, such , with Canada regarding reciprocity exists only repair services and accommodation as well as supply spare parts used in business.

If you need more information do not hesitate to contact us.