Tax Agency: Frequently Asked Questions. General issues

Both can coincide unless, among other transactions, intra-Communitary aquisitions of goods or services or other internal investment operations are carried out by the taxpayer (these transactions should only be recorded in the received invoices record book).

The transactions included and their corresponding codes are:

This case is set forth in article 5 of the Regulations governing invoicing obligations (RD 1619/2012), "Compliance with obligation to issue invoice by consignee or by a third party". The following must be taken into account:

• The term for sending the invoicing records to the Tax Agency is eight calendar days. (this excludes Saturdays, Sundays and national holidays).
• A census declaration (form 036) should be filed to notify of this option, the date from which it is exercised and, if applicable, the renouncement and date of effect.

The Issued Invoices record book should use the letter "S" to refer to "Invoice issued by Third parties or Payee".

Yes. Since there is a duty to issue an invoice, (articles 2 and 3 RD1619/2012 regulating duties concerning billing) this must be recorded.

As an exempt transaction, it will be filled in in the section “Invoice Breakdown" in one of the following fields according to the reason for exemption:

• Non-taxable amount article 7, 14, others.
• Non-taxable amount based on localisation rules. 

As an exempt transaction, it will be filled in in the section “Invoice Breakdown" as "Taxable" and "Exempt", stating the gross tax base and, optionally, the cause of exemption using the following codes: 

“E1: exempt because of the article 20”

“E2: exempt because of the article 21”

“E3: exempt because of the article 22”

“E4: exempt due to articles 23 and 24”

“E5: exempt because of the article 25”

“E6: exempt due to other” 

If this information is not available, simply state that it is an exempt transaction. 

If the invoice includes transactions with different reasons for exemption, the amount of the exempt gross tax base corresponding to each one can be detailed.

With customers that are Spanish businesses, the supplier or service provider will register the invoice details in the Record Book of Invoices Issued, including the key 'Non-Exempt - With Investment taxable entity' in the functional block 'Invoice overview'. The boxes 'tax rate' and 'amount charged' will be filled in as zero.

With customers that are EC businesses with a VAT number, the supplier or service provider will register the invoice details in the Record Book of Invoices Issued, including the ley 'Non-subject amount due to location rules' in the functional block 'Operation type overview'. It should also be specified whether it is a delivery of goods or provision of services.

The invoice issued to the EU client will be recorded in the Issued Invoices Record Book and identified with a number 2 in the "IDType" field and the Intra-Community Operator Number in the "ID" field. The "CountryCode" field is not mandatory. 

Furthermore, the gross tax base of the invoice will be included in the type of operation field "Exempt" in the "Supply" block. The cause of exemption will be entered as "E5: Exempt due to article 25".

The operation is recorded in the Issued Invoices Record Book. 

In the field "Special regime code or Importance" the value of 02 is stated. 

The client will be identified -in the case of non-national- by stating the "Country code" and the codes 3 "Passport"; 4 "Official ID issued by the country or territory of residence", 5 "Residence certificate" or 6 "Other documentary proof" of the "IDType" field. 

Furthermore, the gross tax base of the invoice will be included in the type of operation field "Exempt" in the "Supply" block. E2 "Exempt due to article 21" will be stated as cause of exemption.

These are transactions similar to supplies of goods (also referred to as "external" supply) which should be recorded in the Issued Invoices Record Book, based on their tax classification, with no notable speciality.

These are transactions similar to supplies of goods (also referred to as "internal" supply) which should be recorded in the Issued Invoices Record Book and the Received Invoices Record, based on their tax classification. In both cases the identity of the invoice issuer is the same as the counterpart.

The invoice issued will be registered with the special regime code "11" or "12" depending on whether the lease is subject to withholding tax or not and "13" if the invoice includes both types of lease.

If the lease is not subject to withholding tax (codes "12" and "13"), details should be given for each premises of the location code and land registry reference number. Currently the maximum number of land registry reference numbers that can be included in the system is 15; if this number is exceeded, 15 references with greater rateable value will be provided.

The invoice issued will be registered with the special regime code "11" or "12" depending on whether the lease is subject to withholding tax or not and "13" if the invoice includes both types of lease.

If the lease is not subject to withholding tax (codes "12" and "13"), details should be given for each premises of the location code and land registry reference number. 

If the number of land registry reference numbers is higher than 15, the first 15 will be sent in the XML of issued invoices and the rest in a specific XML.

The breakdown must be made at the operation level when the customer is foreign ('ID Other', except for code 07, or a NIF (Tax ID Number) that starts with N), and when it is not a simplified invoice or a summary entry.

The fiscal year and accrual period for the operation corresponding with the invoice registered.

Example 1: Business A sells goods to business B on 6 July 2017. Business A issues the invoice on 2 August.

Business A shall send records of the invoice on 14 August, and shall enter in the Record Book of issued invoices, Fiscal year: 2017, Period: 07.

• It is important to take into account that the calculation of the eight calendar day terms exclude Saturdays, Sundays and national holidays.

In the case of amended invoices, the fiscal year and the settlement period in which the amendment of the tax return-settlement will be entered in accordance with the previsions of article 89 of the Value Added Tax Act.

Sales made after 1/1/2019 

As of 1/1/19, VAT refunds in the travellers regime must be documented mandatorily via the electronic document for refunds (DER). 

As of 1/1/19, information related to the DER shall be sent as follows:

Communication type: A5.

Invoice type: F1.

Period: that in which is the tax amount due is reduced.

Issuer invoice number: to identify the electronic reimbursement document (DER), the IAEAT or ILR (1) will be consigned.

Regime: 02 export.

Type of operation: subject and not exempt

Tax base and amount due: shall be entered in negative value. 

The DER-related information must be submitted before the 16th of the month following the settlement period that includes the amendment of the refund for the amount borne by the traveller.

An A6 communication type shall be used to modify a DER.

• (1) IAET: reference number assigned to the DER by the Tax Agency.
• ILR: local reference identifier assigned to a DER by the issuing entity. You do not need to have an ILR if the DER is filed through the form available for these purposes in the Tax Agency E-Office. 

Sales made before 1/1/2019. 

Up to 31/12/18, both the invoice issued by the seller and the electronic document for refunds could be used to obtain VAT refunds in the travellers regime. 

VAT refunds carried out as of 1.1.19 in the travellers regime that correspond to sales made before this date and that are documented using a DER will be recorded as set forth in the previous section. 

VAT refunds carried out as of 1/1/19 that correspond to sales made before this date and for which the DER has not been issued shall be recorded as follows: An amended invoice will not be issued, and new invoice details will be sent (Special regime “02: exports" and zero tax liability) with notification type "A4".

It involves cases in which the manufacturer only issues the original of the corrected invoice without the need to submit a copy to the distributor, since the latter should not correct the accrued amounts or their deductions.

The information must be included in the functional block 'Breakdown at invoice level', selecting the field "coupon". 

This field is compatible with codes R1, R5 (simplified corrected invoice) and F4 (invoice summary entry). 

Example: if the discount offered by the entity distributing to end consumers is 121 euros and this amount is reimbursed by the manufacturer, the gross tax base will be reduced by 100 euros (121 euros / 1.21). Consultation DGT V2966-15.

One of them will be identified as the recipient, ticking the field "invoice with several recipients"

This is used to send information corresponding to work certificates issued, the recipient of which is the Public Administration, when the tax has not accrued due to the following circumstances: 

• The amount corresponding to the work carried out has not be paid in full or in part 

• The work has not been received in full or in part in accordance with article 235 of Royal Legislative Decree 3/2011 of 14 November (Revised text of the Public Sector Contracts Act).

It is used to send information corresponding to documents that represent uninterrupted operations (supplies, leases,...) and which, even after meeting the requirements set out in articles 6 or 7 of Royal Decree 1619/2012, are not considered invoices since they do not produce an accrual of the tax due to the following circumstances: 

• The invoiced amount cannot be demanded on the issue date.

• It has not be paid in full or in part. 

It is important to note that the transaction date must be stated as the chargeable date (accrual), which will determine the settlement period to report (see FAQ 3.12)

Although the fee does not appear broken down in the simplified invoice, by marking the keys “F2”, “F4” and “R5” in the Register of issued invoices the taxable base, type and passed on fee fields are mandatory . The transferred quota field must be equal to the taxable base for the type (a margin of +/- 10 euros will be allowed).

• The invoices are issued on the same date. They are, therefore, DAILY summary entries.

• The identification of the recipient is not mandatory.

• The accrual of the documented operations will have taken place within a same calendar month.

The system allows the combination of the following codes: 

Code 07 (Cash basis) must always be the first code to provide.

Code 05 (Travel agencies) must be the first code to provide unless it concurs with code 07 (RECC - Special cash-accounting regime).

Code 06 (Special regime for Business Groups in VAT - advanced level) must be the first code to provide when it concurs with codes 11, 12, 13, 14 and 15.

Code 03 (Special regime for used goods, objects of art, antiques and collectors' items) should be the first code stated when concurring with code 01.

This combination will not involve a breakdown of amounts for each of the codes. However, it will involve taking into consideration the different additional fields that must be provided taking into account each of these.

It is registered with code F1, assigning a sequential number to the invoice that cannot be the same as another one that has already been reported with the same date and issuer.

Only those issued by third parties due to regulatory requirements, in accordance with the third and sixth Additional Provisions of Royal Decree 1619/2012 and the Organized Gas Market.

• Simplified invoices, except for simplified qualified invoices governed by Articles 7.2 and 7.3 of the Regulations governing invoicing obligations, which will be recorded as stated in FAQ 2.49.
• Full invoices where the assignation of the NIF of the beneficiary is not mandatory, in accordance with the provisions of letter d) of Article 6.1 of the aforementioned Invoicing Rules, governing invoice obligations, characterised because the beneficiary of the same is not identified. These invoices will be entered with a specific note in the Issued Invoices Record Book.

This mark is compatible with corrected invoices registered with code R5.

If the event of a delay in a building certification payment the recipient of which is a Public Administration and it has been registered with code 14 "VAT invoice pending accrual" due to failure to receive all or part of the work, a modification must be made to the register using communication A1, entering the new expected date of payment under date of operation and the corresponding settlement period. 

If a building certificate is paid in advance of the forecast date, the issuer must:

• register the issued invoice as a result of the payment received using the general operation codes.
• modify the initial record of the building certificate made with code 14, reducing the gross tax base and the total amount by the amounts paid in advance. If the advance payment is for the total amount, the record is set to zero.

If the payment is delayed no registration modification should be made given that the accrual is produced when payment is required regardless of when it is carried out (except for operations where the special Cash Regime is applicable).

If advance payment occurs with regard to the expected date, the supplier or service provider must:

• register the issued invoice as a result of the payment received using the general key F1
• modify the initial record made with key 15, reducing the gross tax base and the total amount in the amounts charged in advance. If the advance payment were for the total amount, the record will be zero.

Key 10 should only be used by associations, professional associations or other entities included in the SII to report professional fees or rights derived from intellectual property, copyright or others charged on behalf of their associates . These charges are not documented in an invoice, they must simply be reported as a billing record with key 10 in the SII. The invoice number will be the number assigned to the document justifying the payment made by the association or school to the member, and the issue date will be the date on which the payment is received by the association or school, identifying the member on whose behalf the payment was made as the counterparty. The transaction will be recorded as "not subject to article 7, 14, others", indicating the total amount of the consideration.

 The invoice documenting the service provided by the associate must be recorded in the associate's issued invoice registry book, regardless of whether the invoice was issued by the association, professional association or other entity on behalf of the associate.

 Key 10 NO will be used in operations involving:

 - Services provided by the association, professional association or entity to its members. They must register with key 01 (unless another specific key is required).

 - Re-invoicing by the association, professional association or entity of the services provided by its members to clients. In this case, the associate must issue an invoice for the services provided to the association, school or entity and the latter will issue an invoice in its own name to the client. Both invoices will be recorded with code 01 (unless another specific code is required) in the registration book of the member and the association, school or entity respectively.

 Example: A professional association collects 12,100 euros on January 11, 202X for a service provided by one of its members, the service being documented in the following invoice issued by the association on behalf of the member:

 Invoice number 1/202X-A

 Issue Date: January 2, 202X

 Taxable base: 10,000 euros

 Type: 21%

 Quota: 2.100 euros

 The payment supporting document has the following numbering: 5/202X

 Registration by the College in the LRFE:

 Bill number: 5/202X

Invoice issue date: 11-01-202X

 Counterparty data: NIF and name of the member

 Total amount: 12,100 euros

 Key 10

 Operation not subject

 Registration by the member in the LRFE:

 Bill number: 1/202X-A

 Invoice issue date: 02-01-202X

 Counterparty data: NIF and name of the client to whom the service is provided

 Total amount: 12,100 euros

 Key 01

 Operation subject to and not exempt from tax

 Taxable base: 10,000 euros

 Type: 21%

 Amount of tax charged: 12,100 euros 

The new code 17, in force since July 1, 2021, will be used to register invoices that document operations subject to Spanish VAT or that of another Member State, for which the party required to register has taken advantage of one of the regimes. special provisions provided for in Chapter XI of Title IX of the LIVA:

• Regime outside of the European Union.
• Regime of the European Union.
• Import Scheme (IOSS).

Example 1: Entity “A” established in the Spanish territory of application of the Tax (TAI) is subject to the Union regime with effect from 1 July 2021 (Member State of identification: Spain). On July 20, he makes a sale to a private individual located in France to whom he sends the goods from the TAI. The general rate applicable in France is 20%. The sales price of the goods is 200 euros, French VAT excluded. 

The sale made by “A” will be taxed in France at a rate of 20% (his sales to individuals from other members exceed 10,000 euros). 

“A” will have issued an invoice for the sale made and will have paid the French VAT through the Union regime (form 369). 

The registration of the issued invoice in the SII will be carried out in accordance with FAQ 3.4 using the special regime key 17 and entering 200 in the not subject field by localization rules of the not subject block. 

If a full invoice is issued, it will be broken down by type of transaction, indicating that it is a delivery of goods. 

If a simplified invoice is issued, the breakdown will be at the invoice level.

Example 2: The businessman in example 1 sells goods on July 25 to a final consumer located on the Peninsula. Sale amount 1,000 euros VAT at the general rate excluded. 

In this case, the sale made by “A” will be taxed in Spain. This sale, as it cannot be declared under the Union regime, will be entered using form 303. 

In this case, key 17 will not be used to register the invoice issued by “A” in the SII and the Taxable/Non-Exempt Block must be completed, reporting the type, base and rate.

Example 3: The businessman in example 1 sells goods imported from China on July 30 to a final consumer located on the Peninsula. Sale amount 100 euros, VAT at the general rate excluded. “A” has been covered by the import regime since July 1, 2021. 

In this case, the sale made by “A” will be taxed in Spain. through the import regime (model 369). 

The registration of the issued invoice in the SII will be carried out using the special regime code 17 and the subject/non-exempt Block must be completed, reporting the type, base and rate. 

For import, “A” must register the SAD or the H7 in the manner provided in FAQ 4.5.