Canary Islands VAT rise to 7%
- Dec 26, 2019 | Richard Asquith
The Canary Island in its 2020 budget is to reverse the 2019 Canary Islands VAT (‘IGIC’) rise. It is now planning to increase IGIC from 6.5% to 7% on 1 January 2020.
In addition, the luxury goods VAT rate would rise from 13.5% to 15%. Also, the 3% rate would be re-imposed on non-domestic electricity supplies.
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Non-EU businesses selling in Spain will need to appoint a fiscal representative alongside completing VAT registration and returns.
Fiscal representatives are responsible for the accurate VAT submissions of their non-EU clients.
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