Spain to introduce a digital tax and financial transaction tax

Jan 28, 2019

The Spanish government recently approved draft laws to introduce a financial transactions tax and a digital services tax. The 3 percent digital services tax will apply to large corporates with turnover in excess of €750 million worldwide and turnover of €3 million in Spain.  The financial transactions tax will be levied at a rate of 0.2 percent on the acquisition of shares in Spanish listed companies with a stock market capitalisation value above €1 billion.

Minister Isabel Celaá said that that the Spanish Government expects to generate revenue of €850 million from the finance transactions tax while the digital service tax is projected to raise additional tax revenue for Spain of €1.2 billion.