The Spain VAT Calculator helps you quickly determine the VAT amount on a purchase or service. You can calculate VAT by adding it to a net amount or removing it from a total amount.
Spain VAT Calculator
Calculate Value Added Tax for Spain transactions with accurate rates
Standard Rate
Reduced Rate
Super Reduced
Total Amount
VAT Amount
Net Amount
VAT Rate
Removing VAT: Net = Amount ÷ (1 + VAT Rate)
The Spain VAT Calculator helps you quickly determine the VAT amount on a purchase or service. You can calculate VAT by adding it to a net amount or removing it from a total amount.
When adding VAT:
- VAT Amount = Net Amount × VAT Rate
- Total Amount = Net Amount + VAT Amount
When removing VAT:
- Net Amount = Total Amount ÷ (1 + VAT Rate)
- VAT Amount = Total Amount – Net Amount
Spain has three main VAT rates: Standard (21%), Reduced (10%), and Super Reduced (4%). Most goods and services are taxed at the standard rate.
Adding VAT Example
Let’s say you want to calculate VAT on a €100 product with the standard VAT rate of 21%:
Net Amount = €100
VAT Rate = 21% or 0,21
Calculate the VAT amount:
VAT Amount = €100 × 0,21 = €21
Calculate the total amount:
Total Amount = €100 + €21 = €121
Removing VAT Example
Now, let’s say you have a total amount of €121 and want to calculate the net amount and VAT:
Total Amount = €121
VAT Rate = 21% or 0,21
Calculate the net amount:
Net Amount = €121 ÷ (1 + 0,21) = €121 ÷ 1,21 = €100
Calculate the VAT amount:
VAT Amount = €121 – €100 = €21
Reduced Rate Example
For hotel services, the reduced VAT rate of 10% applies. Let’s calculate VAT on a €150 hotel bill:
Net Amount = €150
VAT Rate = 10% or 0,10
Calculate the VAT amount:
VAT Amount = €150 × 0,10 = €15
Calculate the total amount:
Total Amount = €150 + €15 = €165
Spain VAT Rates Explained
Spain has three main VAT rates that apply to different types of goods and services:
Standard Rate: 21%
Reduced Rate: 10%
Super Reduced: 4%
What Each Rate Applies To
Standard Rate (21%): Most goods and services including:
- Electronics and technology products
- Clothing and footwear (excluding some categories)
- Jewelry and luxury items
- Most services not covered by reduced rates
- Alcoholic beverages and tobacco products
- Restaurant services (except food and drinks to take away)
Reduced Rate (10%): Specific goods and services including:
- Hotel accommodation and restaurant services
- Passenger transport services
- Food products not covered by the super-reduced rate
- Water supply and sanitation services
- Some agricultural products
- Some cultural and sports events
Super Reduced Rate (4%): Essential goods including:
- Basic foodstuffs (bread, milk, eggs, cheese, fruits, vegetables, etc.)
- Books, newspapers, and periodicals
- Medicinal products for human use
- Medical devices for disabled people
- Housing construction (under certain conditions)
VAT Exemptions in Spain
Some goods and services are exempt from VAT in Spain, meaning no VAT is charged on them. However, businesses that sell exempt goods cannot reclaim the VAT they pay on their purchases.
Common VAT exemptions include:
- Medical and healthcare services
- Educational services
- Financial and insurance services
- Postal services
- Lotteries and betting
- Rental of residential properties
- Some cultural services
- Insurance and reinsurance services
VAT Registration Thresholds
In Spain, businesses must register for VAT if their taxable turnover exceeds a certain threshold:
- Registration Threshold: No specific threshold for most businesses
- Special Regime Threshold: €50,000 for certain activities
Once registered, businesses must charge VAT on their taxable supplies and submit VAT returns, usually quarterly or annually depending on their size. They can also reclaim VAT on their business purchases.
Spain has special VAT regimes for small businesses, including the “Régimen Simplificado” (Simplified Regime) and “Régimen Especial de la Agricultura, Ganadería y Pesca” (Special Regime for Agriculture, Livestock, and Fishing).
Understanding Spain VAT
What is VAT?
Value Added Tax (VAT) in Spain is known as “Impuesto sobre el Valor Añadido” (IVA). It is a consumption tax levied on the value added to goods and services at each stage of production or distribution. In Spain, VAT is administered by the Spanish Tax Agency (Agencia Tributaria).
How VAT Works
VAT is collected by businesses on behalf of the Spanish Tax Agency. Businesses charge VAT on their sales (output tax) and can reclaim VAT they pay on their purchases (input tax). The difference is paid to or reclaimed from the tax authority through periodic VAT returns.
VAT Rates History
The standard rate of VAT in Spain has changed over time. It was introduced at 12% in 1986, increased to 15% in 1992, then to 16% in 1995. It was further increased to 18% in 2010 and to the current 21% in 2012. The reduced rates have also been adjusted periodically over the years.
VAT Invoices
Registered businesses must provide VAT invoices that include specific information: their VAT number (NIF), invoice date, invoice number, customer details, description of goods or services, and the VAT rate applied. Electronic invoicing (factura electrónica) is mandatory for transactions with public administrations and increasingly common in B2B transactions.
VAT Returns
Registered businesses must submit VAT returns to the Spanish Tax Agency. The frequency depends on the business size and turnover: monthly, quarterly, or annually. Most businesses submit returns electronically through the Spanish Tax Agency’s online portal or authorized software.
VAT Schemes
The Spanish tax system offers several VAT schemes to simplify accounting for smaller businesses, including the “Régimen Simplificado” (Simplified Regime), “Régimen Especial de Recargo de Equivalencia” (Special Regime for Equivalence Surcharge), and special regimes for agriculture, livestock, and fishing. Each has specific eligibility criteria and simplified tax calculation methods.
Spain VAT Information for Businesses
VAT Registration
Businesses carrying out economic activities in Spain must register for VAT. Registration is done through the Spanish Tax Agency. Once registered, businesses receive a VAT number (NIF) and must charge VAT on their taxable supplies, submit regular VAT returns, and keep proper VAT records for at least 10 years.
VAT Accounting
Proper VAT accounting is essential for compliance in Spain. Businesses must maintain accurate records of all sales and purchases, VAT invoices issued and received, and any adjustments or corrections. Electronic record-keeping is increasingly mandatory, and records must be stored in accordance with Spanish tax regulations.
International VAT
Special VAT rules apply to international transactions in Spain. Goods exported to non-EU countries are zero-rated, while imports are subject to VAT. Services to customers outside the EU may also be zero-rated. Businesses trading internationally must understand the place of supply rules and may need to register for VAT in other EU countries through the OSS (One-Stop Shop) system.
VAT Reclaims
Businesses can reclaim VAT on purchases used for business purposes in Spain. This includes goods, services, and some capital items. There are restrictions on reclaiming VAT for certain expenses, such as business entertainment, cars, and some goods used for both business and personal use (partial exemption).
VAT Penalties
The Spanish Tax Agency can impose penalties for various VAT compliance failures, including late registration, late payment, late submission of returns, and errors in returns. Penalties can range from fixed amounts to percentages of the tax due, depending on the severity and frequency of the failure. Interest is also charged on late payments.
VAT Planning
Effective VAT planning can help businesses minimize their VAT burden legally in Spain. This includes using the most appropriate VAT regime, timing purchases and sales strategically, understanding partial exemption rules, and taking advantage of available reliefs and exemptions. Professional advice is recommended for complex VAT situations, especially for international businesses.