Spain: Defers Due Dates for Financial Transactions and Digital Services Tax

The Spanish Tax Agency has issued a release announcing a deferral of the initial deadlines for the new Financial Transactions Tax (FTT) and Digital Services Tax (DST), which both entered into force on 16 January 2020. The deferrals are reportedly being provided to give companies more time to adapt and implement required changes to comply with the newly created taxes.

With respect to the FTT, the settlement period is monthly, and the standard filing period is from the 10th to the 20th of the following month. For the months of January and February 2021, it is provided that the initial self-assessment return and payment corresponding to these months will be due by the deadline for the month of March 2021 (from 10 to 20 April 2021). Therefore, the first self-assessments of the tax will not be submitted until 10 April 2021.

With respect to the DST, the settlement period is quarterly, and the standard filing period is the month following the settlement period. For the first quarter of 2021, it is provided that the initial self-assessment return and payment corresponding to this quarter will be due by the deadline for the second quarter of 2021 (from 1 to 31 July 2021). Therefore, the first self-assessments of the tax will not be submitted until 1 July 2021.