VATLive > Blog > Spain > Spain closes tax office on coronavirus epidemic

Spain closes tax office on coronavirus epidemic

  • Mar 15, 2020 | Richard Asquith

Update: The Spanish Canary Island tax office confirmed on 23 March that VAT (IGIC return) is delayed from 20 April to 1 June.

Spain had already announced last week VAT and other tax payment holiday for small businesses who apply for relief for the coronavirus (Covid-19) outbreak. The scheme is not available for large businesses (above €6m turnover) or if the Value Added Tax due is above €30m. Follow Avalara’s live global coronavirus Covid-19 VAT measures tracker.

Royal Decree-Law 7/2020 of March 12 contemplates a series of measures to make deferrals more flexible for SMEs and the self-employed. Any applicant must provide details of:

The applicant who intends to take advantage of the flexibility established in the Royal Decree Law must pay special attention to the following fields:

  • Type of guarantees offered
  • Proposal of repayment terms; number of deadlines
  • First instalment date: the date six months from the end date of the ordinary deadline for submitting the self-assessment must be included (for example, the monthly self-assessment of VAT MOD 303 for the month of February expires on the 30th March, so the date to be included would be 30 Sept 2020).
  • The first 3-months of deferment will be exempted from the normal 3.75% penalty interest.

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: richard.asquith@avalara.com He is part of the European leadership team which this year won International Tax Review's Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.
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