The three VAT rates in 2026
Spain applies three VAT rates depending on the good or service you invoice. The standard rate is 21%, the reduced rate is 10% and the super-reduced rate is 4%. The Tax Agency maintains this structure stable in 2026, without the temporary reductions that existed in previous years.
Key points
- Standard rate: 21% (most goods and services)
- Reduced rate: 10% (basic foodstuffs, transport, hospitality)
- Super-reduced rate: 4% (bread, milk, eggs, fruit, vegetables, books)
- 0% rate: exports and intra-community supplies of goods
Who is required to declare VAT
Freelancers and companies that make supplies of goods or provide services subject to the tax declare VAT. Registering means filing form 036 or 037 in the census of entrepreneurs, and from there settling VAT every quarter.
The mechanism is always the same: you charge VAT on your invoices, deduct the VAT paid on your purchases and settle the difference. If the result is in favour of the Tax Agency, you pay; if it is against, you carry it forward to offset in the following quarters.
Frequency: form 303 and annual summary
Form 303 is filed every quarter, between the 1st and the 20th of the following month. In addition, once a year the annual summary is due, form 390, which details all transactions of the year.
Form 390 is the one that accumulates the most errors among those starting out. It does not generate a payment, but it is informative and the Tax Agency cross-checks its data with that of form 303. Filing it incorrectly or late leads to surcharges and can block refunds.
Intra-community VAT and VIES registration
If you invoice companies in other European Union countries, intra-community VAT comes into play. Intra-community supplies are exempt (0% rate) as long as your customer has a valid VAT number, which you check in the VIES system.
To operate within the EU you need to be registered in the ROI, the Register of Intra-Community Operators. It is a separate registration from the normal VAT register, and without it you cannot correctly issue exempt intra-community invoices.
Common mistakes and how to avoid them
The most frequent mistake is applying the wrong rate to a product, especially in food and hospitality. The second is failing to file form 390, and the third is deducting VAT on expenses that are not deductible.
If you start invoicing outside Spain, the risk grows: intra-community VAT has its own rules on place of supply and registration. An advisory firm with experience in international operations avoids most of these scares.
