Tag Archives: iva

Turre Mayor appears to admits tax evasion with townhall cash to pay for the feria…

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A radio interview from 2010 is currently doing the rounds in Turre where the current Mayor, Arturo Grima, appears to admit to having evaded tax by paying €60,000 from townhall coffers towards the town fiesta in 2007 without declaring taxes. Arturo was Mayor of Turre from 1995-1999, when he was barred from re-election for 8 years for abuse of office during his term. He promptly returned as soon as the Law allowed in 2007, when Continue reading Turre Mayor appears to admits tax evasion with townhall cash to pay for the feria…→

VAT on bullfighting could drop to 10%

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Currently, VAT (IVA) on all cultural activities is taxed at 21% (luxury). This includes theatre tickets, entertainment values, works of art, etc. The government has confirmed it is studying reducing the VAT on works of art to 10% in order to help Spanish artists. However, the tax break would only be on handcrafted individual works of art. Another item that could be dropped is the cost of going to a bullfight, as part of Madrids Continue reading VAT on bullfighting could drop to 10%→

Taxes to start dropping as from next year (not IVA)

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Taxes will stop dropping as from next year promised Mariano Rajoy this morning. It seems he suddenly realised in the shower this morning that next year is an election year. He has a lot more reforms up his sleeves, he promised, although he refused to be drawn on details. His finance minister quickly rushed out a statement assuring people that IVA won’t drop, and he’s talking about income / corporate taxes. A cut on income tax Continue reading Taxes to start dropping as from next year (not IVA)→

Chaos at the tax office as online IVA declaration collapses under pressure

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The Tax Office (Hacienda) has changed the system so you can only declare your IVA online through their webpage. No more filling in of forms and posting them off… Well, the theory is good, but the implementation has been chaotic, with users not understand the system, the system not being up to the job (complicated, slow and keeps crashing) and the only helpline a premium line 901 with not enough operators and queue times of Continue reading Chaos at the tax office as online IVA declaration collapses under pressure→

IVA won’t go up, promises government

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Montoro has angrily denied that he is planning another IVA tax rise in the next few months, as suggested by Expansión today. He admitted that the IMF and the EU keep asking him to put IVA up, but said he’s not going to, because it isn’t necessary. IVA has three tax bands in Spain, 4%, 10%, 21%. The suggestion was to change them to 4%, 13%, 23%. But Montoro, the Minister of the Economy, is Continue reading IVA won’t go up, promises government→

Important changes to IVA invoices as from next year – the cash basis IVA scheme

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In September 2013 a new tax law was introduced in Spain which changes the way businesses can claim back IVA (VAT) on invoices issued and pending. The law is known as Ley 14/2013, de 27 de septiembre, de apoyo a los emprendedores y su internacionalización (Law 14/2013 of 27 September, support for entrepreneurs and internationalization), whose importance I believe may be of interest. In short, the new system allows those businesses that have registered under Continue reading Important changes to IVA invoices as from next year – the cash basis IVA scheme→

EU tells Spain to put IVA up again, and slash social spending

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The EU “troika” has issued a report on Spains economy which says that progress in modernising the nations outdated social network is, whilst satisfactory, rather slow. It urges Spain to either up IVA again, or failing that, shift as many goods as it can into the high 21% band; slash social spending again, reign in the regions and increase the age of retirement once more. The EU calculates that Spain is currently running a 10 Continue reading EU tells Spain to put IVA up again, and slash social spending→

25% of the local economy is black

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About 25% of the entire economy of Almería is “black”, or in other words, is undeclared and no tax is paid on it. And the percentage is expected to grow as the recession bites. That’s according to the Tax Office, no less. Lástima que no haya un Nobel de Economía sumergida. — Hugo Bonet (@HugoBonet) October 15, 2012 Frankly, I reckon it’s higher than that. I was in a well known mechanics in Vera the Continue reading 25% of the local economy is black→

IVA increase will apply to July and August utility bills

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A complaint has been lodged alledging that the IVA increase, due on the 1st of September, will affect water, gas, telephone and electric bills for the months of July and August unless the government issues an exception. FACUA, the consumers organisation, has pointed out that most utility companies will issue their two months bills in September, after the 1st of September increase in IVA. However, the bills will be for services provided in July and Continue reading IVA increase will apply to July and August utility bills→