How do I calculate the VAT to be deducted when I carry out transactions that have the right to deduction together with others that do not have the right to deduction?

In the event that in your activity you carry out operations that give the right to deduction, together with others that do not give the right to deduction , you will only be able to deduct a part of them, having to apply the prorata rule .

To calculate the prorated amount, the following amounts must be divided:

• Numerator: the amount of supplies of goods and services made during the calendar year that generate the right to deduction (only taxable base , without VAT ).

• Denominator: the total amount of deliveries of goods and services provided during the calendar year, including transactions that do not generate the right to deduct. (only tax base , without VAT).

The result is multiplied by 100.

The percentage thus obtained is rounded up to the nearest whole number.

The apportionment may be general or special.

The general proportion consists of deducting all input VAT payments in the previous percentage.

The special proportion involves deducting the input VAT on the acquisition of goods and services based on their destination, in such a way that if the good is used in an activity that gives the right to deduction, the Input VAT will be deducted in its entirety, while if it is used in an activity that does not generate the right to deduction, no amount will be deductible. Finally, if the good is affected by both types of activity, the input VAT will be deducted based on the pro rata percentage.

It will be mandatory to apply the special apportionment when applying the general apportionment the deduction exceeds by 10% that which results from applying the special apportionment.

You have the prorata calculator to do your calculations.