When does the temporary VAT reduction on petrol, electricity, and natural gas take effect in Spain?

It takes effect from 20 March 2026, following publication in the Official State Gazette on 21 March 2026.

What is the new VAT rate for petrol and electricity in Spain after the decree?

The VAT rate is reduced from 21% to 10%.

What excise duty rates will apply to diesel and petrol after the decree?

€0.379 per litre of diesel and €0.47269 per litre of petrol.

Which taxes on electricity will be abolished or cut?

The 7% electricity generation tax for companies will be abolished, and the 5.11% special electricity tax for consumers will be cut.

What are the new discount rates for the social electricity tariff?

Discounts will rise to 42.5% for vulnerable households and 57.5% for severely vulnerable households.

Vat On Petrol And Electricity Cut To 10% As Spain Unveils €5bn Cost-of-living Plan

Electronic Invoice Confirmed: 1 October 2027

ZeroComa · 5 days ago

Spain’s new ministerial order on electronic invoicing takes effect on 1 October 2026, starting the clock for adaptation periods. Companies with annual turnover above €8 million must be compliant by 1 October 2027, while others must comply by 1 October 2028. The order activates the technical framework set out in Law 18/2022 and Royal Decree 238/2026.

Spanish Crea y Crece e-invoicing regime to launch in phases from 2027

VATCalc · 5 days ago

Spain’s Council of Ministers approved Royal Decree 238/2026 mandating structured B2B e-invoicing and 4‑day real‑time reporting. The phased rollout will start on 1 Oct 2027 for large firms (€8 m+ turnover) and extend to all taxpayers by 1 Oct 2028, with payment status reporting added in 2029. The regime requires EN 16931‑UBL invoices, a faithful copy to the public system, and a free public platform built by the Agencia Estatal de Administración Tributaria.

Spain sets rules for mandatory B2B eInvoicing

Fintua · 13 days ago

Spain has introduced mandatory B2B e‑invoicing under Royal Decree 238/2026, effective from 31 March 2026 but operationally deferred until the public e‑invoicing platform regulation takes effect. The decree sets phased implementation: large businesses with turnover over €8 million must comply within 12 months, while all other businesses follow within 24 months. It also imposes strict invoice status reporting within four calendar days and allows four electronic formats.

Brussels warns Spain over fuel VAT cut as government digs in

Inspain · 13 days ago

Spain has temporarily lowered fuel VAT from 21% to 10% under Real Decreto-ley 7/2026, a measure set to expire on 30 June 2026. The EU Commission warned that the cut breaches EU rules, but no formal infringement has been initiated. The temporary relief is expected to cost Spain about €507 million in revenue loss.

EU clashes with Spain over ‘Illegal’ fuel VAT cut as drivers enjoy temporary relief

Euro Weekly News · 14 days ago

Spain has temporarily lowered fuel VAT from 21% to 10% as part of a €5 billion emergency package, a move that the European Commission says violates the EU VAT Directive. The reduction is set to expire at the end of June 2026, after which the standard 21% rate will resume unless Madrid extends the measure. Brussels has issued a formal warning and warned of potential infringement proceedings if the policy persists.

VAT Newsletter April 2026

BDO · 16 days ago

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.