Tax by country

VAT (IVA) invoice rules in Spain

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In Spain an invoice must show your NIF-IVA, itemised lines, and VAT (IVA) separately at the applicable rate — 4%, 10%, 21%, with 21% applying to most work. "Factura" (or "Factura simplificada"). Numbering must be sequential within a series, and you may run separate series as long as each is internally unbroken.

The Spain rule people miss

Spain distinguishes a "factura simplificada" — for small amounts, with fewer required fields — from a full factura. Above the threshold you need the customer's NIF on the document, and a simplified invoice does not let a business customer reclaim the IVA.

When VAT (IVA) registration becomes compulsory

There is no turnover threshold. If you carry on an economic activity in Spain you register and charge IVA from the first invoice, which surprises freelancers arriving from countries with a small-business exemption.

Assessed on a rolling twelve months in most systems, not your financial year — which is the detail that catches people out.

Which VAT (IVA) rate applies to what

10% covers passenger transport, hospitality and most home renovation work; 4% is the "superreducido" band for staple foods, books, newspapers and medicines.

Bands are defined by what you supply, not by who buys it.

How often you file in Spain

Modelo 303 is quarterly for most businesses and monthly for those above €6 million of turnover or registered under REDEME — and monthly filing brings SII with it, which means reporting invoice ledgers to the Agencia Tributaria within days rather than at period end. An annual Modelo 390 summarises the year.

A worked VAT (IVA) example

Invoice €4,100 with a 5% discount shown on the document:

The discounted value is what gets taxed — discounts, deposits and advance payments covers where that stops being obvious.

Correcting an invoice in Spain

Corrections go out as a factura rectificativa, in its own numbering series, stating expressly that it rectifies and identifying the original. The Agencia Tributaria expects the reason for the correction on the face of the document, not just the new numbers.

Invoicing outside Spain

Services to an EU business customer are reverse-charged with "inversión del sujeto pasivo" on the invoice. Note that the Canary Islands, Ceuta and Melilla sit outside the IVA territory and use IGIC or IPSI instead.

Charging tax to a client in another country covers the general shape.

Record keeping in Spain

Four years, matching the general limitation period for tax assessment. What to hand your accountant at year end.

The universal fields — number, both parties, dates, lines, tax separately, total — apply on top of the local rules above. Rates change: checked to mid-2026, a starting point rather than tax advice; verify against the Agencia Tributaria.

Set your country once in EstimateBill and the tax is labelled correctly on every invoice after that — GST and GSTIN in India, VAT in the UK, Sales Tax and EIN in the US, across 58 countries.