In this article we are going to talk about the tax obligations of the bloggers,
an
increasingly
widespread
activity
on the
web due
to the large
number
of
companies
making
publications
and
blogs,
to be
released
in the
media and
attract
customers.
The tax
treatment
of
journalistic
collaborations
already
been
detailed
in
previous articles.
They
commented
on the
possibility
of
combining
work
with
a
freelance
paid
work
without
registering
for
Social
Security as
self-employed.
This is
possible
depending
on the
income they
give us
this
second
activity
and
regularity
with
which
it is
performed.
Being a professional activity subject to withholding does not require the submission of quarterly payments in advance for income tax. But what about VAT ?. Generally, the journalistic contributions are exempt from tax, but you have to stop and analyze what the “Tax Man” means by “journalistic collaboration”.
We understand the term journalistic collaboration as producing a text for print media and newspaper. A work for an agency or an audiovisual medium is not considered a journalistic collaboration and therefore would not be exempt from VAT. Therefore, the work as editor on a blog is not a journalistic collaboration, which would require registering with the tax and filing quarterly VAT returns.
VAT exemptions are contained in Law 37/1992, of 28 December, the Value Added Tax, Article 20, which says: "They will be exempt from tax (...) Professional services, including those whose consideration consists of copyright, provided by artists, writers, literary collaborators, graphic and photographic newspapers and magazines, music composers, authors of plays and plot, adaptation, screenplay and dialogues of audiovisual works, translators and adapters ". We must emphasize the fact that the article mentions as exempt professional services for which consists in copyright.
The wording of the law would exclude online publications. The legislation is before the development of newspapers, magazines and blogs as we know them and there has been no change that has included these media within the scope of the exemption, therefore collaboration in these terms are themselves taxable.
It is important to remember that the criteria used to determine whether these jobs are exempt from VAT or subject is not the nature of who pays, but the conditions of collaboration. This means that if a person is already registered as a freelance journalist with the tax authorities and is exempt from VAT because their contributions are made in media within the scope of the exemption shall also submit the VAT form for the articles and writings published in online media since the Vat exemption cannot be applied..
Being a professional activity subject to withholding does not require the submission of quarterly payments in advance for income tax. But what about VAT ?. Generally, the journalistic contributions are exempt from tax, but you have to stop and analyze what the “Tax Man” means by “journalistic collaboration”.
We understand the term journalistic collaboration as producing a text for print media and newspaper. A work for an agency or an audiovisual medium is not considered a journalistic collaboration and therefore would not be exempt from VAT. Therefore, the work as editor on a blog is not a journalistic collaboration, which would require registering with the tax and filing quarterly VAT returns.
VAT exemptions are contained in Law 37/1992, of 28 December, the Value Added Tax, Article 20, which says: "They will be exempt from tax (...) Professional services, including those whose consideration consists of copyright, provided by artists, writers, literary collaborators, graphic and photographic newspapers and magazines, music composers, authors of plays and plot, adaptation, screenplay and dialogues of audiovisual works, translators and adapters ". We must emphasize the fact that the article mentions as exempt professional services for which consists in copyright.
The wording of the law would exclude online publications. The legislation is before the development of newspapers, magazines and blogs as we know them and there has been no change that has included these media within the scope of the exemption, therefore collaboration in these terms are themselves taxable.
It is important to remember that the criteria used to determine whether these jobs are exempt from VAT or subject is not the nature of who pays, but the conditions of collaboration. This means that if a person is already registered as a freelance journalist with the tax authorities and is exempt from VAT because their contributions are made in media within the scope of the exemption shall also submit the VAT form for the articles and writings published in online media since the Vat exemption cannot be applied..
if
you
collaborate
publishing your writings in an online
blog
and
want to know
more
about the tax implications do not hesitate
to
contact VP Advisers for further details.
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