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Different sectors

How to calculate deductible VAT if you have several activities

If you carry out several activities, you must determine whether there are what are called “differentiated sectors” because in that case you must apply the deduction regime separately.

To determine whether economic activities are different:

  1. You must know the assigned group (the first 3 digits) in the National Classification of Economic Activities (CNAE-2009).

    If they belong to different groups , they are considered different activities. An activity accessory to another is not considered distinct when, in the preceding year, its volume of operations did not exceed 15% of that of the latter and, in addition, contributes to its realization . Accessory activities follow the same regime as the activities on which they depend. If the accessory activity was not carried out in the previous year, a reasonable forecast of these operations must be made and, where appropriate, regularised once their volume is known.

  2. Determine the deduction regime. The deduction regimes are different if between the deduction percentages (prorata) applicable to the main activity (activity with the highest volume of operations in the previous year) and those applicable to activities that are different from the main activity, there is a difference of more than 50 percentage points .

    1. The main activity , with the accessory activities to it and the different economic activities , whose deduction percentages do not differ by more than 50 percentage points with that of the one will constitute a single differentiated sector .

    2. The activities other than the main one whose deduction percentages differ by more than 50 percentage points the main one will constitute sector differentiated from the main one.

    3. In addition, the following always constitute differentiated sectors:

      • Activities covered by the simplified special regimes, agriculture, livestock and fishing , operations with investment gold or the equivalence surcharge .

      • The financial leasing operations ( DA 3 of Law 10/2014).

      • The credit or loan assignment operations (except "factoring").

Table of sectors and activities CNAE (300 KB - xlsx )