Spain ebook VAT rate cut proposal
- 2 October 2011 | Richard Asquith
Following on from this week's call for a French VAT cut for digital publishers, the opposition party in Spain has put forward a similar reduction proposal.
Currently, e-books, online newspapers and journals are classified at the higher, standard VAT rate in Spain, which is 18%. This compares to traditional newspapers and books, which are classified at the reduced VAT rate of 4%. To read more about Spanish VAT compliance.
Across Europe, many countries classify digital print at the lower EU VAT rates - read here about varying VAT rates on publishing - but most still levy VAT at the increased rate. The European Commission requires countries to follow the higher standard rate, but is reviewing this position in advance of a 2015 wholesale overhaul of the European VAT system.