World Congresses and Taxation – PBS Welcome Solutions

Barcelona  has hosted once more the Mobile World Congress with great success of attendees from many countries all over the Globe.

In addition to the many economic benefits of a venue like this one as well as of many others taking place in our country, we remind you today how taxation also plays a role in this type of events.

✔ As of Jan. 01, 2011, services consisting of trade fairs organization are located in the Spanish VAT territory when they are rendered in such territory and the consumer of such services is not a VAT taxpayer.

When such services are provided to a person or entity qualifying as a VAT taxpayer (a B2B transaction), then the transaction is deemed to take place at the location of the domicile of the addressee of the service.

✔ The practical application of this rule implies that the different services provided in a trade fair organization (such as providing for a stand location, translation or cleaning services…), that are generally regarded as a single VAT transaction, are subject to Spanish VAT when they are supplied to a Spanish VAT taxpayer but not to an entity not domiciled or residing in Spain but in the EU, for example.

✔ The access to trade fairs taking place in Spain follows a specific rule and is subject to Spanish VAT when such events take place in the Spanish VAT territory.