Tax Agency: Corrective self-assessment - Frequently asked questions about the corrective self-assessment model...

The regulations governing corrective self-assessment are found in the following rules:

Article 120.4 of Law 58/2003, of December 17, General Tax Law .
Article 74 bis of the Value Added Tax Regulations, approved by Royal Decree 1624/1992, of December 29.
Order HAC/819/2024, of June 30, amending Order EHA/3786/2008, of December 29, approving Form 303 Value Added Tax, Self-Assessment, and Form 308 Value Added Tax, refund request: Equivalence surcharge, article 30 bis of the VAT Regulation and occasional taxable persons and Annexes I and II of Order EHA/3434/2007, of November 23, which approve models 322 of monthly self-assessment, model are modified individual, and 353 monthly self-assessment, aggregate model, as well as other tax regulations.

The corrective self-assessment must be submitted to rectify, complete or modify a previously submitted form 303 that corresponds to:

In the case of a monthly declaration period: September 2024 and following.
In the case of a quarterly declaration period: third quarter of 2024 and subsequent years.

However, there are two situations that are excluded from the corrective self-assessment. Both situations will require in the submission of a request for rectification of self-assessment:

Corrections of quotas unduly passed on to other taxpayers.
Corrections to quotas corresponding to operations covered by the special regimes regulated in Chapter XI of Title IX of the Tax Law.

In the case of rectifications based on the possible violation by the rule applied in the prior self-assessment of the provisions of another higher-ranking rule, the taxpayer may choose between submitting a rectifying self-assessment or a request for rectification of the self-assessment. Although both procedures allow rectification for these cases, only the second expressly allows the submission of supporting documentation for the reason for the rectification.

Corrections affecting periods prior to September 2024 and the third quarter of 2024 will be made in accordance with the system prior to the entry into force of the corrective self-assessment. That is, errors that are detrimental to the Treasury will be corrected through the traditional supplementary self-assessment, while errors that are detrimental to the taxpayer must be corrected by submitting a request for rectification of the self-assessment.

Yes, you can submit a corrective self-assessment to correct any data or error in the self-assessment, even if it does not affect the result, except in two situations that will require in all cases the submission of a request for rectification of self-assessment:

Corrections of quotas unduly passed on to other taxpayers.
Corrections to quotas corresponding to operations covered by the special regimes regulated in Chapter XI of Title IX of the Tax Law.

Yes. It is mandatory to indicate at least one of the following reasons for rectification:

Corrections (except those included in the following reason). It includes all grounds for rectification other than a discrepancy in administrative criteria, as well as rectification due to a possible violation of a higher-ranking rule.
Administrative criteria discrepancy. Includes the assumptions in which, there being no violation of a higher-ranking rule , there is discrepancy in its interpretation.

It is mandatory to indicate at least one reason for rectification, but it is possible that the two previous reasons are indicated in the same rectifying self-assessment.

In the case of a corrective self-assessment due to a possible violation of a higher-ranking rule, you must indicate as the reason for rectification “Corrections (except those included in the following reason)”

No. When the taxpayer intends to rectify a self-assessment because he considers that a rule has been applied in the rectified self-assessment that he considers violates another higher-ranking rule he may choose to submit a rectification request or a rectifying self-assessment.

Submitting a rectification application does not imply the need to also submit a rectifying self-assessment for the same reason. In fact, the taxpayer may choose one way or the other, but only should use one of them.

It will be completed exclusively in the case of a corrective self-assessment due to a discrepancy in administrative criteria when in addition the correction cannot be made through the rest of the boxes on the form. (If there is a discrepancy in administrative criteria and the model allows rectification, box 108 will be left blank even if this reason for rectification has been indicated).

The expression “Disagreement of administrative criteria” is not equivalent to the assumption of rectification due to violation of a higher-ranking rule referred to in the second paragraph of section 1 of article 74 bis of the RIVA. In fact, the violation of a higher-ranking rule is not included in the administrative discrepancy of opinion.

When a corrective self-assessment is submitted due to a breach of a higher-ranking rule, the reason for the correction must be indicated as “Corrections (except those included in the following reason)”.

By its very nature, box 108 can have a positive or negative sign.

Example. Taxpayer “X”, subject to the special cash basis regime, sells to “Z” on September 15, 2024, 1,000 liters of sunflower oil at a price of 1 euro/liter, VAT not included.

“Z” pays the amount of the previous transaction on October 15, 2024.

In addition to the above transaction, in the fourth quarter of 2024 “X” made sales on a cash basis for an amount of 5,000 excluding VAT, to which the rate of 7.5% is applicable, of which it collected half in the fourth quarter.

For the sale of September 2024, “X” will have declared in the third quarter model 303:

Box 62: 1,000

Box 63: 50 (1,000 x 5%) (The rate applicable to sunflower oil until 30 September is 5%).

According to the criteria of the Tax Administration ⁽¹⁾, the rate applicable to the sale on September 15 is 7.5%, since it is the rate in effect on the accrual date of the transaction. Form 303 for the fourth quarter of 2024 does not allow the declaration of operations at the 5% rate.

However, “X” does not agree with the previous administrative criterion, since he considers that the 5% rate, which was in force at the time the goods were delivered, is applicable to the sale of September 15.

In order to declare the sale of September 15 at 5% in the fourth quarter, as form 303 for said quarter does not allow declaring operations at this tax rate, “X” must submit a first self-assessment, which will include the operation of September 15 at the rate of 7.5%, with the following details:

Box 153: 3,500 (1,000 + 2,500)

Box 154: 7.5

Box 155: 262.5 (3,500 x 7.5%)

Box: 62: 2,500

Box 63: 187.5 (2,500 x 7.5%)

Box 69: 262.5

Box 70:

Box 109:

Box 71: 262.5

Amount to deposit: 262.5

Box 72:

Box 73:

Box 111:

Once the previous self-assessment has been submitted, “X” must submit a self-assessment with the following details:

On page 3 of form 303:
- You must check the corrective self-assessment box (page 3 of form 303).
- The receipt number of the first self-assessment must be entered.
- As a reason for rectification, check the box "Discrepancy in administrative criteria." (It is mandatory to indicate at least one reason for rectification).
- In box 70 you must enter the positive amount from box 69 of the first self-assessment.
- Box 109 will be left blank.
- In box 153, enter the taxable base for cash sales made and paid in the fourth quarter.
- In box 155, enter the amount corresponding to cash sales made and paid in the fourth quarter.
- In box 108, enter the accrued fee for the sale on September 15, applying the 5% rate.
The corrective self-assessment will present the following details:
- Box 153: 2,500
- Box 154: 7.5
- Box 155: 187.5 (2,500 x 7.5%)
- Box: 62: 2,500
- Box 63: 187.5 (2,500 x 7.5%)
- Box 108: 50 (1,000 x 5%)
- Box 69: 237.5 (187.5 + 50)
- Box 70: 262.5 (box 69 first self-assessment)
- Box 109:
- Box 71: - 25
- Amount to deposit:
- Box 72:
- Box 73:
- Box 111: 25

⁽¹⁾ Article 90. Two of the LIVA points out that:

“The tax rate applicable to each transaction will be the one in force at the time of accrual.”

For its part, article 163 terdecies of the LIVA establishes that:

"One. In the operations to which this special regime is applicable, the Tax will be accrued at the time of total or partial collection of the price for the amounts actually received or, if this has not occurred, the accrual will occur on December 31 of the year immediately following the year in which the operation was carried out.
For these purposes, proof must be provided of the time of collection, in whole or in part, of the price of the transaction.”

According to these articles, the applicable rate will be the one in force at the time of collection, that is, the new rate of 7.5%.

Box 70 can only be completed in the case of a corrective self-assessment.

In the case of a first corrective self-assessment, in box 70 the positive amount ## from box 69 of the self-assessment being corrected must be filled in.

In the case of second and subsequent corrective self-assessments, the last self-assessment with effect will be considered. In these cases it is recommended to see the instructions for model 303.

(Tax Agency: Instructions)

Box 109 can only be completed in the case of a corrective self-assessment.

In the case of a first corrective self-assessment, the negative amount from box 69 of the self-assessment being corrected must be filled in in box 109, provided that a refund has been requested and agreed. If the refund has not been agreed, even if box 69 of the self-assessment being rectified is negative, box 109 will be left blank.

In the case of second and subsequent corrective self-assessments, the last self-assessment with effect will be considered. In these cases it is recommended to see the instructions for model 303.

( Tax Agency: Instructions)

Box 111 is intended to reflect the part of the negative result of a corrective self-assessment that corresponds to the positive result of the corrected self-assessment, whether entered or not. Depending on the case, this may mean:

Refund of improperly made income
Modification of deferred, fractional or debt-recognized amounts
Modification of direct debit amounts
A combination of the above cases.

In case of submission through PRE 303, PRE 303 itself calculates the amount in box 111.

Box 111 can only be completed in the case of a corrective self-assessment.

Yes.

No. For these purposes, the operation of the corrective self-assessment is no different from the presentation of any other self-assessment.

The model also does not have a free text that allows for the incorporation of texts of allegations.

Yes. In this case, the amount in box 69 of the corrective self-assessment must match the amount in box 69 of the self-assessment being corrected.

The supporting document number of the last corrective self-assessment submitted will be indicated.

Provided that the following conditions are met:

The original self-assessment has a result to be entered whose income has been domiciled.
The corrective self-assessment is favorable for the taxpayer. That is, the amount in box 69 of the corrective self-assessment must be less than that in box 69 of the original self-assessment.
The presentation of said corrective self-assessment must be made within the direct debit period.
The supporting document number of the original declaration has been indicated in the corrective self-assessment.

When the taxpayer submits the corrective self-assessment, the following message will be displayed on the form:

“As a result of the presentation of the corrective self-assessment, I request to cancel/modify the direct debit made”

The taxpayer must select this option and when submitting the corrective self-assessment, the amount of the direct debit of the original self-assessment will be cancelled or modified as follows:

If the amount in box 69 of the corrective self-assessment is greater than zero, the amount to be domiciliated will be the amount entered in box 69 of the corrective self-assessment.
If the content of box 69 of the corrective self-assessment is less than or equal to zero, the direct debit of the first self-assessment will be cancelled.

Rectifying self-assessment

Frequently asked questions about the corrective self-assessment form 303

Where is the corrective self-assessment regulated?

When is a corrective self-assessment submitted?

How are errors in Form 303 from periods prior to September/third quarter of 2024 corrected?

Can a corrective self-assessment be submitted to correct any errors?

When I submit a corrective self-assessment, is it mandatory to indicate a reason for rectification?

What reason for rectification should I provide in the event of a potential violation of a higher-ranking rule?

In the event of a potential breach of a higher-level regulation, can I simultaneously submit a corrective self-assessment for this reason and also a request for rectification of the self-assessment?

How do you fill out box 108 ("Exclusively for certain cases of corrective self-assessment due to a discrepancy in administrative criteria that should not be included in other boxes. Other settings”)?

How do you fill out box 70?

How do you fill out box 109?

How do you fill out box 111?

Is box 111 compatible with box 72?

Is box 111 compatible with box 73?

When filing a corrective self-assessment, can supporting documentation be provided for the correction made?

If the modification only involves modifying information boxes that do not alter the result, can a corrective self-assessment be submitted?

In the event of having to make a corrective self-assessment of form 303, when other previous corrective actions have already been submitted, what receipt number must be identified?

In the case of direct debit of the amount to be paid from the original self-assessment, how does the submission of a corrective self-assessment affect it?