Spain: Reduction of VAT rates on energy

Spain adopts urgent measures in the energy field, in the application of the remuneration system to cogeneration plants by temporarily reducing the VAT rates with effect from 1 October 2022 and valid until 31 December 2022.

The new VAT rates, reduced from 21% to 5%, apply to :

• Intra-Community deliveries, imports and acquisitions of gas,
• Intra-Community supplies, imports and acquisitions of wood briquettes and pellets from biomass and firewood.

If you want to know more about this subject, contact our experts!

Sources:

• Real Decreto-ley 17/2022, de 20 de septiembre
• Agencia Tributaria