The model that all business owners and self-employed people trading within the European Union need to be familiar with.
The Form 349 for intra-Community transactions It is intended for all business owners and self-employed individuals who trade with both customers and suppliers in countries other than Spain, but which are members of the European Union. The aim is to declare all such transactions to the Tax Agency, a Information Statement.
This process includes tall transactions involving the purchase or sale of goods or services to another EU country that are subject to intra-Community or cross-border VAT. Furthermore, both the sender and the recipient of the transaction must be registered with the Register of Intra-Community Operators (ROI). Other requirements include holding an intra-Community VAT number and issuing invoices without VAT.
This scenario arises when a sale is made from one EU country and is destined for another EU country, but is subject to a different tax rate. However, the Canary Islands, Ceuta and Melilla, despite not being subject to the same tax, are not regarded as part of intra-Community transactions. It is therefore not necessary to complete Form 349.
It is a monthly submission to the Tax Authority, although there is also the option to submit it quarterly or annually. To avoid having to submit it every month, you must meet a number of requirements, which are as follows:
For the quarterly return, the value of intra-Community transactions during that quarter and during the four preceding calendar quarters must not exceed €50,000, excluding VAT. In the case of a annual tax return, We are referring to cases where the value of intra-Community transactions in the previous year does not exceed €35,000. In the latter case, eligibility also applies if the total value of exempt goods in the previous year does not exceed €15,000.
The deadlines for submitting the form on a quarterly basis are as follows:
- First quarter: From 1 to 20 April, both dates inclusive.
- Second quarter: From 1 to 20 July, both dates inclusive.
- Third quarter: From 1 to 20 October, inclusive.
- Fourth quarter: From 1 to 30 January of the following year, inclusive.
If Form 349 is filed annually, the deadline is from 1 to 30 January of the following year. However, if it is filed monthly, the deadline will always be from the 1st to the 20th of the following month.
To submit this information form, you can access it via the Online Portal from the Tax Agency. To access this service, you must have an electronic certificate, an electronic ID card or a Cl@ve PIN. Once you have logged in, you will need to fill in all your details as the person filing the return, as well as providing all the information requested regarding the transaction that has taken place (amount, reason, tax identification number, etc.). You can then submit it electronically.
However, we know that many business owners and self-employed people do not have the time to complete this monthly tax return. It is important to keep all your documents and procedures in order and up to date with the Tax Authority, but you can always make use of specialist tax advisers to help you with that task so that you can focus on continuing to grow your business.
Exim Asesores, Tax, Labour and Accounting Consultancy for the self-employed and SMEs, We provide you with a team of specialist advisers in each area. We handle tax, accounting and employment matters either in person or remotely. You can contact us by telephone on 680 830 406, via Skype, by email or via Facebook Messenger.
Ask us for an appointment without obligation at 680 830 406 or in dromo@eximasesores.com
