Simplified system for agriculture, livestock and forestry activities
The following activities are included in the simplified Value Added Tax regime:
Independent livestock farming.
Livestock breeding, guarding and fattening services.
Other jobs, services and accessory activities provided by farmers, ranchers and owners of forestry holdings that are excluded or not included in the special regime for agriculture, livestock and fishing.
Uses that correspond to the transferor in agricultural and forestry activities carried out under a sharecropping regime.
Transformation, elaboration or manufacturing processes of natural products.
These activities will be excluded from the simplified regime when the following circumstances occur:
That the sum of income from these activities, plus agricultural, livestock and forestry activities that are in the REAGP , exceeds 250,000 euros, without including current or capital subsidies, or compensation, as well as nor the VAT nor, where applicable, the equivalence surcharge. In this case, the VAT amount will be calculated according to the general regime.
In the case of the activities "Other accessory work, services and activities carried out by farmers and/or ranchers that are excluded or not included in the REAGP" and "Other accessory work, services and activities carried out by owners of forestry activities that are excluded or not included in the REAGP", will be excluded from this regime if the total income attributable to them is higher than that corresponding to agricultural and/or livestock or forestry activities.
Calculation of the quota derived from the simplified regime in agricultural, livestock and forestry activities
To calculate the fee accrued for current operations, in the case of activities in which the delivery of natural products or accessory work, services and activities is carried out, the total volume of income will be multiplied , excluding subsidies, compensation, as well as VAT and, where applicable, the equivalence surcharge that taxes the operation, for the "accrued quota index for current operations» that corresponds to the activity carried out.
In the event that the activity is the transformation, processing or manufacturing of natural products, the total volume of income will be replaced by the value of the natural products used in the process , at the price of market. The allocation of the fee accrued for current operations in these activities will occur at the time the natural products are incorporated into the aforementioned production, transformation or manufacturing processes. Likewise, Order HFP /1335/2021, of December 1, establishes certain peculiarities regarding products subjected to said processes prior to January 1, 1998 and that are subject to delivery from January 1, 2022, as well as in the case of deliveries made under a warehouse regime other than customs.
Regarding the deduction of fees borne by current operations, there is no specialization with respect to the other activities of the simplified regime.
In determining the fee derived from the simplified regime, it should be noted that there is no minimum fee and therefore it will be the difference between accrued fees and fees borne by current operations.
To calculate the payment on account to be made in the self-assessments corresponding to the first three quarters, the "rate of accrued fee for current operations" will be applied to the total volume of income for the quarter and a certain percentage will be applied to the result for each activity in the Order by which the indices or modules for each exercise are approved.
In the first quarter of 2022, an agricultural holding in which the simplified regime or the REAGP has not been renounced sells fruit to entrepreneurs for an amount of 80,000 euros, having provided livestock fattening services from third parties for the amount of 6,000 euros. The remaining quarters only provide services of those indicated for amounts of 7,200, 7,800 and 6,600 euros, respectively. In 2021, third-party cattle fattening activity exceeded 20% of the volume of operations of agricultural activity. (Therefore, the activity is no longer considered included in the REAGP).
For activities in REAGP, fruit sales, it will collect 12% compensation from the buyer without having to carry out any settlement, as we saw when talking about the special regime for agriculture, livestock and fishing.
For fattening services, VAT will be charged at the reduced rate, and the Tax must be settled quarterly based on the volume of operations of each of them.
The deductible input VAT installments in the third-party livestock fattening service activity amount to 1,000 euros.
(*) Quota index to be entered and percentage that appear in Annex I of Order HFP/1335/2021, of December 1, for the activity of livestock breeding, guarding and fattening services. (Activity: "other work and accessory services carried out by farmers, ranchers or owners of forestry activities that are excluded from REAGP and services of breeding, guarding and fattening of livestock, except birds").
4th quarter: annual quota.
The final self-assessment for the year 2022 is presented during the first thirty days of January 2023.
|Revenues||Contents||Accrued fee |
|Supported quota |
|Derived quota |
|27,600||x||0.10||2,760 euros||-1,027.60(1) euros||1,732.40 euros|
Income on account for the year: 1,008 euros
To pay: 724.4 euros
(1) (1,000 + 1% of 2,760)