I.V.A.
is a tax that is charged on the supply, actual or notional, of certain goods and
services in Spain.
In cases where the proprietor has elected
to charge I.V.A. on their property, this tax will be payable by the tenant in
addition to the rent paid for the demised premises.Currently levied at a rate
of 16%, if the tenant is I.V.A. registered, in most cases they will be able to
recover the amount charged from the Local Government Department.
This
tax should therefore be comparatively neutral for most parties, except for the
ultimate consumer.
