White Book details over 100 reforms for Spanish VAT and other taxes
The Spanish ‘Tax Committee’ of local tax specialists presented their recommendations to the Ministry of Finance. Their recommendations is known as the ‘White Book’. This includes a range of digital VAT reforms, many in coordination with EU VAT reforms, including: e-commerce; gaming; cloud computing; gig & sharing economy. The White Book also includes large numbers of changes for income and property taxes.
VAT on e-commerce and emerging digital sectors
Within the White book are a range of recommendations covering VAT on e-commerce and related digital and gig sectors. These include:
- Interpretation of the rules around chain transactions
- Extending the deemed supplier role to service providers
- Work with the EU on the extension of the One Stop-Shop return under the EU Single VAT Registration proposals
- Coordinating with the EU on tax collections and mutual assistance on recoveries
- EU-wide changes to the basis of taxation on gaming based on location of customer
- Explore e-commerce delivery fees
- Implementation of EU DAC 7, harmonising from 2023 the tax and transaction reporting requirements on digital platforms
- Explore imposing withholding taxes on gig & sharing economies digital platforms to capture missed taxes
- Further clarify the tax status on 3-D and cloud computing services which disrupt the existing tax models, and how they may work with royalties
- Further study on the tax treatment of cryptocurrencies (DAC 8) and related crypto-assets
- Support and promoting the OECD Pillars I & II, and work with the EU on Pillar I implementation and remedy uncertainties with Digital Services Taxes
- Support implementation of EU digital levy towards EU own resources (own funding)
- Review of the tax environment for income for bloggers, influencers, youtubers and similar earners in the new digital world – particularly cross-border elements
