As in many other EU member states, the appointment of a fiscal representative in Spain is mandatory for foreign companies that do not have a permanent establishment in the European Union. Since 2004, however, there is no longer any obligation for companies based in the EU. Nevertheless, it can also be worthwhile for EU companies to appoint a representation in VAT issues in Spain, not least because a representative may be required when paying the VAT. You can find out more about this in the following article.
Antonia Klatt
Last Updated on 22 October 2021Was is fiscal representation?
Service providers who help foreign companies to fulfill their tax obligations are known as FIskalvertreter. Depending on the client’s country of origin, the representatives are either appointed voluntarily or have to be mandated. The following service providers are usually considered:
- Tax consultant
- Lawyers
- Chartered accountants and sworn accountants
- Notaries
- Forwarding companies, insofar as they provide assistance in matters of import duties
You can find more information on fiscal representation in the European Union on our overview page.
What does a fiscal representative do in Spain?
As soon as you have appointed a fiscal representative in Spain, he will take care of all VAT obligations. These include:
- Receipt of the EORI number in Spain, which is required for import and export in Europe
- Receipt of the Spanish tax number and VAT identification number
- Submission of tax returns and advance VAT returns
- Communication with the Spanish speaking authorities
Depending on the agreement, a fiscal representation in Spain can also include invoicing, payment of VAT to the Spanish tax office and many other activities.
When do I need fiscal representation in Spain?
In Spain, as in many other EU countries, the appointment of a fiscal representative is required if a company that is not based in the EU carries out one of the following economic transactions:
- The company is subject to VAT due to its participation in the MOSS or OSS program and chooses the Spanish tax office as the competent authority
- The company is entitled to deduct VAT and must submit VAT returns on a regular basis
- The company wants to pay VAT in Spain and apply for a VAT refund
- The company imports and exports goods from and to countries outside the EU to and from Spain
- The company sells goods to a company in other EU member states
- The company sells goods to Spanish private individuals
Companies that are based in other EU countries can appoint a fiscal representative, in this sense a Spanish attorney, on a voluntary basis if the following situations exist:
- The company wants to pay VAT in Spain and apply for a VAT refund
- The company must submit regular advance returns and is entitled to VAT deduction
- The company distance sells goods to Spanish consumers, does not participate in the OSS program and exceeds the EU-wide delivery threshold, or participates in the OSS program and stores goods in Spain
In these cases, the EU company is subject to VAT in Spain, but since an EU decision in 2004, has been able to take care of the VAT tasks alone and independently.
However, it should be noted that the respective Spanish deadlines may differ from those of the home country, the forms have to be filled out in Spanish, the contact with the local authorities is in Spanish, and Spain has only slowly implemented the regulations of the decision in 2004. A Spanish tax number is still required to pay VAT in Spain, which distance sellers usually do not have. Therefore, even for companies and sellers based in the EU, the appointment of a fiscal representative in Spain can be worthwhile in order to meet deadlines, avoid fines and simplify contact with the authorities.
Register for VAT in Spain
Submit VAT Return in Spain
Appointment of a fiscal representative in Spain
The guidelines on the duty of a fiscal representative can be found in Spain in the VAT Act 37/1992. Accordingly, any natural or legal person in Spain can act as a representative as long as they have a legal residence in Spain. The establishment of a representation usually includes the signing of a notarial deed about the appointment of the fiscal representative and his acceptance of this position. This can be done with a Spanish notary or with a notary abroad (with a certified translation).
The representative himself does not have to be entered in the commercial register. However, he must apply for a tax identification number, for which it is necessary to prove the existence of the client by means of a certified certificate from the respective commercial register in which the client is entered (if necessary with a certified translation).
Fiscal representation in other European countries
As mentioned, fiscal representation is no longer mandatory for EU companies across Europe. However, local legislation is always decisive and, as in the case of Spain, there are exceptions that make representation in VAT matters advisable for EU companies as well.
You can find more information about the local conditions on the subject of fiscal representation in Germany, Italy, France and more on our country-specific pages.
| country | mandatory fiscal representation for non-EU companies and sellers |
| Germany | yes |
| Netherlands | yes |
| Austria | yes |
| Polen | yes |
| Czech Republic | no |
| Spain | yes |
| Italy | yes |
| France | yes |
If you trade multinationally or sell goods via online marketplaces such as Amazon and fulfillment programs such as Amazon FBA, a specialized service provider such as hellotax can be worthwhile instead of a normal fiscal representative. Our specialized team of tax consultants works for you across the EU and takes care of your VAT registration, filings and VAT collection in a large number of European countries at the same time. This gives you all the information bundled and saves you even more administrative and financial effort.
Contact us today and simplify the handling of your tax obligations!
Book a free consultation
Our VAT experts are happy to help you. Book a free consultation today!
Frequently Asked Questions
A fiscal representative is a service provider who represents a foreign entrepreneur in tax matters before the Spanish tax authorities. Among other things, he takes care of VAT and customs matters. It also makes it easier to overcome language barriers when contacting the authorities in Spain.
A Spanish fiscal representative takes care of, among other things, the registration for sales tax, advance sales tax returns, tax returns, the payment of sales tax, and much more. It is also necessary to be able to pay sales tax in Spain.
A tax representative is required if a foreign company carries out taxable sales in Spain. All companies that do not have a permanent establishment in the EU are considered to be foreign companies. Many business transactions are counted as taxable sales. Most relevant, however, are usually sales to private individuals. In theory, companies based in the EU do not have to appoint a fiscal representative in Spain. However, it is often needed in practice, for example to communicate with the Spanish authorities and to be able to pay sales tax.
Tax advisors, lawyers and notaries and some other service providers in Spain can act as fiscal representatives. In addition, freight forwarders who provide assistance in matters of import duties, i.e. who help during the customs process for imports into Spain, can be appointed as agents. For dealers, it is usually worthwhile to hire a specialized company that can represent you in several European countries.
