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According  to the Spanish binding consultation DGT CV 28-12-17 the services of “transport of people” with driver offered online,  must receive the same treatment as a travel agent’s by being obliged to use  their  special regime.

When a Company puts together car owners who render transport services with clients who need transport, using for this purposes a website, and invoicing  directly the final client while hiring the transport services,  the complex service is qualified in the same way a travel agent’s activity would.

The key for the Spanish Tax authorities is the fact that the transport services are rendered under own name but with alien means .

Travel Agents do exactly the same. Subcontracting  a third party but assuming the service as own.

The special regime of travel agents in Spain obliges operators to charge a 21% out of their gross margin. The gross margin is the difference between the amount collected from the client (without VAT) and the amount of the expenses incurred by the travel agent´s to be used in the composition of the client´s order, including taxes.

Whatsoever, the input VAT afforded by the travel agent’s shall be 10%.

We must remind at this point, that the special regime for travel agent’s has the aim to allow the Companies obliged to keep the secrecy on their markups, avoiding unfair competition.

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