How do I manage intra-community VAT if I am self-employed?

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In other words, it regulates the collection of Value Added Tax (VAT) on commercial transactions carried out between companies belonging to different countries within the EU.

What is the function of intra-community VAT?
Foreign trade is a fundamental part of today's economy, but each country collects taxes according to its own regulations. For this reason, there was a need to create a common system to facilitate commercial transactions between companies.

By implementing common rules, transactions and VAT collection between EU member countries are greatly simplified. This also avoids double taxation and facilitates tax compliance for companies in each country.

Differences between VAT and intra-community VAT
The Spanish VAT (Value Added Tax) is an indirect tax levied on purchases of products or services and is applied in a unique way in each country. It is applied to practically all transactions, although with different tax rates.

In this sense, intra-community VAT is a type of VAT that is specifically used for trade operations between countries of the European Union. In this case, the tax is collected only in the country of destination.

How is intra-community VAT regulated?
There are two laws that directly regulate the collection of this tax:

Council Directive 2006/112/EC of 28 November : this sets out the general and international rules for the collection of intra-Community VAT.
Law 37/1992, of December 28 : also known as the Value Added Tax Law, regulates the tax internally in Spain, as well as its application at the European level.
Requirements for applying intra-community VAT
If your company carries out intra-community activities, then you list of brazil cell phone number must register with the ROI, that is, the Register of Intra-Community Operators . This is the census where all the information on companies whose activities involve trade with other countries is gathered.

Registering is relatively simple and can be done online or at any Tax Agency office. To do this, you must use form 036 for the census declaration of registration or modification.

There you must tick the box corresponding to the application for registration in the ROI (box 582) and indicate the probable date of your first intra-community activity. Upon completing the process, you will receive a special tax identification number, called NIF IVA, with which other companies can check whether or not you are registered in the ROI.

Documentation required for registration
Here we show you the documents you need to send to register in the ROI: