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What are the rules for selling goods outside the European Union (incl. UK)? 

Last updated: October 25, 2024

When selling goods from Spain to customers outside the European Union (EU), autónomos must adhere to specific VAT (IVA) and customs regulations. Here are the main guidelines:

Sales of Goods from Spain to Non-EU Countries (including the UK)

Sales of goods from Spain to customers outside the EU are zero-rated for VAT, meaning you do not need to charge VAT on these exports. However, you must retain all necessary documentation, including shipping records, commercial invoices, and customs export declarations to prove that the goods have left the EU.

You will need to declare these sales as exports in your VAT return (Modelo 303) and also report them as an exempt sale of goods.

Sales from Other EU Countries (excl. Spain)

If you store goods in a warehouse in another EU country and sell them to non-EU customers (including the UK), you will need to register for VAT in the country from which the goods are shipped. This is because the place of supply for VAT purposes is the country where the goods are physically located at the time of the sale. Such transactions must be reported as export sales in that country’s VAT returns.

To navigate this process, it is advisable to work with a local provider who can assist with VAT registration, customs procedures, and submitting the necessary declarations in the respective country.

Customs Declarations

When exporting goods outside the EU, customs declarations must be completed. These declarations involve providing details about the nature, value, and destination of the goods. You must comply with both Spanish customs regulations and those of the destination country.

In Spain, this process involves declaring the export via the customs platform (DUA—Documento Único Administrativo), and you will need to work with a customs agent or use an authorized exporter platform.

Sales Between Non-EU Countries

If you sell goods stored in a non-EU country to customers in another non-EU country, the place of supply will be the country from which the goods are shipped. The VAT and tax rules applicable in that country will govern the transaction. It is recommended to consult local tax authorities or a tax advisor in the relevant country, as Spanish tax regulations do not apply in this case.

Record Keeping and Documentation

It is essential to keep detailed records of all transactions, including invoices, proof of transport, and customs declarations for a minimum of four years (as required by Spanish tax law). This documentation is necessary to support the VAT exemption on export sales in case of an audit.

In situations where you are selling goods from a non-EU country to another non-EU country, the place of turnover will be in the country from which the goods are shipped. To understand the specific requirements for selling physical goods from that country, it is crucial to consult the relevant Tax Authorities. We recommend seeking advice from a local tax expert, as Xolo is unable to assist in this matter.

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