Spain’s Royal Decree‑Law 7/2026 introduces a temporary 10% reduced VAT rate on selected energy supplies, effective from 22 March 2026 until 30 June 2026, subject to a CPI threshold. The measure covers electricity (for small‑scale and vulnerable consumers), natural gas, biomass briquettes, firewood, and certain fuels and biofuels, and applies to supplies, imports and intra‑Community acquisitions.
It takes effect on 22 March 2026 and is intended to remain until 30 June 2026, subject to CPI conditions.
The CPI variation for the relevant product in April must exceed 15% compared with the same month in the previous year, as reported by the National Institute of Statistics.
Electricity (for small‑scale and vulnerable consumers), natural gas, briquettes and pellets from biomass, firewood, and certain fuels and biofuels defined by Excise Tax regulations.
Yes, the reduced rate applies to supplies, imports and intra‑Community acquisitions of the specified energy products.
Get VAT and indirect tax news delivered to your inbox twice a week.
No spam. Unsubscribe anytime.
International Tax Review · about 4 hours ago
Spain's Royal Decree 238/2026 introduces mandatory B2B e‑invoicing, with implementation timelines of 12 months for firms over €8 million and 24 months for others, pending a ministerial order on technical specifications. The decree expands the scope to non‑resident suppliers, raising compatibility concerns with the EU VAT Directive. The new system will overlay Spain's existing real‑time reporting and VeriFactu regimes, potentially conflicting with the forthcoming EU ViDA Directive.
Seeburger · 5 days ago
Spain has approved a draft bill that will extend mandatory e‑invoicing from the B2G sector to B2B transactions. The new law requires companies to use certified invoicing software from 1 January 2024 and sets a phased implementation schedule based on turnover thresholds. Non‑compliance can lead to fines up to €10,000.
Agencia Tributaria · 7 days ago
Spain's Tax Agency has enacted Royal Decree 238/2026, mandating electronic invoicing for businesses and professionals. The decree takes effect 20 April 2026, with high‑volume firms (VAT turnover > €8 million) required to comply 12 months after the ministerial order, and others 24 months later. A free application will be provided, and the public e‑invoicing platform must be available at least two months before the first effective application.
e-Invoice.app · 14 days ago
Spain's Council of Ministers approved a Royal Decree mandating B2B e‑invoicing for all businesses and professionals. The phased rollout begins with the Treasury ministerial order, expected before 1 July 2026, with compliance deadlines of 12 months for firms over €8 million and 24 months for others. Structured electronic invoices in FacturaE, UBL or CII formats must be used, and non‑compliance can trigger fines up to €10 000 per infraction.
Murcia Today · 15 days ago
Spain's government introduced a VAT reduction for fuel on 22 March 2026, leading to a 20‑30 cent per litre drop in petrol and diesel prices. Unleaded 95 now costs around €1.62 in Madrid and €1.60 in Barcelona, while diesel remains above €1.83 in some provinces. Despite the relief, fuel costs remain high compared to pre‑crisis levels.
Global Banking & Finance Review · 17 days ago
Spain has proposed cutting the VAT on fuel from 21% to 10% as part of a €5 billion support package to mitigate the economic impact of the Iran war. The measures also suspend the hydrocarbon excise duty, eliminate a 5% electricity consumption tax, and grant a 20‑cent per litre subsidy for farming and transport sectors. The proposals await parliamentary approval and are aimed at reducing fuel prices by 30–40 cents per litre.
