[2015-04-20] Bitcoin is exempt from VAT in Spain!

[LiteCoinGuy]

Bitcoin is exempt from VAT in Spain

The General Directorate of Taxes (hereinafter DGT), an dependant on the Spanish taxing authorities, in a response to a binding consultation submitted on 27 March 2015 [1], has stated that virtual currencies, which works as a mean of payment, shall be classified as financial services. Consequently, transactions with Bitcoin are considered exempt from VAT under the COUNCIL DIRECTIVE 2006/112/EC of 28 November 2006 on the common system of Value added Tax (hereinafter, the Directive)

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


 

[1714838682]

1714838682

[Kaneki]

This is good news, I hope this can boost the confidence of peoples to bitcoin

[Bit_Happy]

VAT taxes are usually an amazingly high % of the purchase price, so this should provide a huge new incentive for the people of Spain to use Bitcoins. 

[LiteCoinGuy]

i hope the whole EU will choose a similar approach.

[srgkrgkj]

wow this is amazing ! unlike other countries like Australia and the US the fact regulations are lax  for Bitcoin will surely see it rise Institutions will have financial freedom and the space to grow

[unamis76]

Simply goddamn amazing and fantastic! This is a true victory for Bitcoiners in my opinion, especially Spanish ones... Hope Spain serves as an example for the rest of the EU

[1Referee]

I hope it will stimulate merchants to get on board and start to give customers the ability to pay with Bitcoin.

Especially now Spain is known as Bitcoin friendly. If this isn't reason enough to accept Bitcoin as a merchant, I don't know what will.

[RodeoX]

A strong U.S. dollar and now this. Maybe my next vacation should be to España?

[bitbouillion]

i hope the whole EU will choose a similar approach.

Germany made bitcoin transactions VAT exempt already in 2013. I guess in between then and now many other EU countries already did the same.

[Grinder]

This probably only means that when someone sells bitcoins for fiat they don't have to charge VAT. If someone sells goods and gets paid with bitcoins they probably still have to charge VAT.

[bitbouillion]

Right, you still have to pay VAT on goods and services. In the EU product pricing always includes VAT. Everyone including merchants have to pay VAT in store, even if that is a cross border deal inside the EU, although VAT rates differ between countries. There is no way that you can buy something VAT exempt in a regular store. Only as a non-EU tourist you can claim back VAT on goods taken abroad.

[LiteCoinGuy]

http://www.coindesk.com/spanish-bitcoin-community-celebrate-bitcoins-vat-exemption/

[Skeksis]

VAT taxes are usually an amazingly high % of the purchase price, so this should provide a huge new incentive for the people of Spain to use Bitcoins. 

And move to spain. Great weather their too. Maybe many businesses baed in Europe may relocate to take advantage. I'm sure many will now be set up their at least.

[Immortal Tech]

This probably only means that when someone sells bitcoins for fiat they don't have to charge VAT. If someone sells goods and gets paid with bitcoins they probably still have to charge VAT.

Yeah. I'm sure as with everything sales and income tax will have to be paid when using bitcoin.

[LiteCoinGuy]

A strong U.S. dollar and now this. Maybe my next vacation should be to España?

make your vacation in Greece, they need more help at the moment