VATLive > Blog > Spain > Canary Islands VAT rise to 7%

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.

Need a fiscal representative in Spain?

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.
Avalara offers a Fiscal Representative Service as part of its international VAT and GST Registration and Returns Service.

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VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He can be contacted at: He is part of the European leadership team which won International Tax Review's 2020 Tax Technology Firm of the Year. Richard trained as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.
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