Bitcoin Forum

In response to a legally binding enquiry, the Directorate-General for Taxes in Spain ("Dirección General de Tributos") has announced that the buying and selling of Bitcoins is VAT-exempt.

The announcement has already been published at the website of the Ministry of Finance:
http://petete.minhap.gob.es/Scripts/know3.exe/tributos/CONSUVIN/texto.htm?NDoc=33794&Consulta=bitcoin&Pos=0 (http://petete.minhap.gob.es/Scripts/know3.exe/tributos/CONSUVIN/texto.htm?NDoc=33794&Consulta=bitcoin&Pos=0)
http://petete.minhap.gob.es/Scripts/know3.exe/tributos/CONSUVIN/texto.htm?NDoc=33794&Consulta=bitcoin&Pos=0&AP=&AC=&IP=50&IC=7 (http://petete.minhap.gob.es/Scripts/know3.exe/tributos/CONSUVIN/texto.htm?NDoc=33794&Consulta=bitcoin&Pos=0&AP=&AC=&IP=50&IC=7)

Good news for Spain. I think "Money" or medium of change things shouldnt be obliged to VAT.

Countries like Spain can get an advantage by accepting BTC legally, especially when an economic crysis approaching.

good news  8)

http://lawandbitcoin.com/en/bitcoin-is-vat-exempt-in-spain/

Wow, nice to hear. Is spain the first country that officially announced this?
Spain is a big country, this encourages more and more people to get into bitcoin. Especially when the country is very weak in financial status, such things would really help.

Btw, I think this post should be moved to the NEWS section :)

I don't think they would like that level of liberty for their citizens. Unfortunately most governments want control, and Bitcoin is not something they can control. It's still good news that Bitcoin can bypass the VAT nightmare.
In spain they have interesting ways to withdraw money with 0% commission in ATM's through halcash, namely Bit2me and BTCpoint.

Bitcoin trading and mining is also VAT exempt in the UK, but if you selling stuff (goods, services) for BTC you have to pay VAT just like if you selling stuff for sterling. Actually this is an EU policy.


https://www.gov.uk/government/publications/revenue-and-customs-brief-9-2014-bitcoin-and-other-cryptocurrencies/revenue-and-customs-brief-9-2014-bitcoin-and-other-cryptocurrencies (https://www.gov.uk/government/publications/revenue-and-customs-brief-9-2014-bitcoin-and-other-cryptocurrencies/revenue-and-customs-brief-9-2014-bitcoin-and-other-cryptocurrencies)

Thats a great news, this should make more people adapt Bitcoin, Spain has made a good decisions by making it VAT- exempt, if Spain can make it more mainstream, It will help it in the time of crisis :)

Fantastic news ! i really hope France is going to take the same choice ..  ::)

Hmm. Strong dollar and now this. Maybe my next vacation should be a trip back to España?

Bro, you can go to Cyprus and start ANY Bitcoin related business there. No Tax, No regulations.
They are still trying to figure out a way how to handle Danny's rip off with Neo-Bee.

Btw, did you change your avatar?

Unfortunately it's not.. In Estonia bitcoin comes under VAT.

Those are good news, but that's only logical. I understand a country may wish to tax capital gains with BTC, but nobody has ever seen VAT or any kind of sales tax to a currency.

Yes, I agree, there are no free gifts, there's always a catch.
The EUR currency is doing so bad now that Spain needs to attract foreign investments.

It seems like the EUR is a failure and is destined to break apart, and once it happens after the big-boom all European countries would have to go back to their old currencies (e.g. Greece to the Drachma, Germany to the Deutschmark etc.).
 

That sounds cool also. I love to travel and meet bitcoin peers. It's awesome that every time I go I have more BTC options. And I did change my avatar. I saw it was available again and thought it was time for something new. Like a shitty picture of myself, lol.

i think a lot of bitcoin business are going to be "spain based" in a really next future ..  8)

 the promised land  ;D

I know where am booking my holidays this year. Nice to see Spain and other parts euro being tax free on Bitcoin at last. Nice locations to spend BTC and be tax free. All the more reasons to go on a vacation with BTC and not use euro and get shafted on the exchange fees. 1 buy bitcoin 2 fly out to Spain 3 start spending BTC and have change of getting more value for BTC when flying out:)

This is a fantastic news for the bitcoin ecosystem, and I hope one day to see again Spain (it is a really nice country). What do you think about this fact? Do you think also the other EU's country will adopt this system or they will continue fight against bitcoin?

https://i.imgur.com/FNnqo8g.png

https://www.reddit.com/r/Bitcoin/comments/33800g/bitcoin_is_exempt_from_vat_in_spain/

http://lawandbitcoin.com/en/bitcoin-is-vat-exempt-in-spain/

Ya, I think Germany was first; it announced that Bitcoin would be treated the same as a foreign currency, which is largely the same rules:  Tax on stuff bought and sold with it, but no tax for exchanging it.

How would they tax on stuff bought and sold with it? what kind of stuff? what is the required price where you start getting taxed?
if they buy a smartphone they will get taxed or what?

I dont mean about the company but the person buying.

Lets say you are spanish and you make 3 BTC with signature campaing or whatever, you withdraw with BTCpoint and want to use this cash to buy an iPhone.

Do you have to pay any taxes or something? how much can you withdraw without getting in trouble?

This is for businesses. Stuff means everything what companies used to sell.

http://vatresource.com/en/News/News-Items/Estonia---Guidelines-published-on-tax-treatment-bitcoins.html
http://www.coindesk.com/estonia-vat-apply-full-amount-bitcoin-trades/

This might be the solution for Greece... if they reduce the VAT on Bitcoin, instead of zero VAT, it might stimulate foreign investment and tourism in their country.

The stronger countries have many options, and you will see over regulation as in the USA, when it comes to making decisions like this. They would rather protect their failing fiat currencies, than investing in alternatives that might save their economies.  >:(

This is a very cool and bold move from Spain, and I hope it leads the way to more countries following their example.  ;D

Let the list begin :

VAT FREE Bitcoin {VFB's}
================
1. Spain

it change from country to country, but usually for small stuff or no expensive , they can't tax, and they won't because they will lose more money than the one gained from taxation

control who evade isn't free like maybe someone think...


this amount is still low for being taxed, if bitcoin was still at its peak then it could be another story, but right now, you should be safe about taxation

As I said earlier money buy/sell should always be exempt of VAT. Money can be EUR, USD or gold,silver (not for jewellery purposes) or BTC and alts. When you exchange those among them, there shouldnt be any VAT issue. However, some countries think BTC as goods rather than money.

I agree with you about governments' control greed, but  VAT exemption for BTC makes easy to buy/sell rather than liberty. And it was a good move because Spain didnt ban it , made it more publicly known thing by exempting VAT.

If the good news keep stacking up on spain I might move there. Perfect climate, nice food, hot girls and relaxed laws on BTC. Seems good to me.

VAT or GST on crypto currecny makes zero sense since in order for VAT or GST to work the medium of exchange itself must not be subject to the tax. In fact people can in many cases legally evade the VAT or GST by registering for it and then using crypto currency as the medium of exchange in those jurisdictions that attempt to levy VAT or GST on crypto currency. Someone in Australia or Estonia needs to try this. Spain can be added to the list of jurisdictions that have shown some common sense on this issue.

Unfortunately some jurisdictions, notably Australia, have very narrow definitions of money in their legislation which leads them to attempt to levy VAT or GST on crypto currency.

This is really good for Spain and to be VAT exempt will allow many people to adapt bitcoins and organizations will also keep an eye to invest more in bitcoins because of the fact that it is VAT exempt, looks like overall a right step taken by Spain on the right direction.

After the release of decentralized exchanges, EU based users will not pay VAT on e-coin purchases anymore.

Decentralized platforms will definitely change the game rules!

Fiesta in Spain !  ;D

http://www.coindesk.com/spanish-bitcoin-community-celebrate-bitcoins-vat-exemption/?utm_source=CoinDesk+subscribers&utm_campaign=81056c01ea-EMAIL_RSS_CAMPAIGN&utm_medium=email&utm_term=0_74abb9e6ab-81056c01ea-72116193

agreed my friend
thinking about it myself

stay away from the coastal resorts in south with hordes of bloody english ruining it
(I'm English btw  ;D )

However, England and Germany’s tax authorities have also said Bitcoin transactions will not be treated to a VAT, stating that the digital currency is either another form of currency or a financial service. Many major European countries, including France and Sweden, have not made statements about the subject yet.