claim VAT back on parking in Spain

Parking costs in Spain fall under vehicle costs

VAT on parking in Spain can in principle be reclaimed via the refund scheme of Directive 2008/9. Parking costs fall, together with fuel, tolls and rental of a means of transport, under the cost category related to business transport. The condition is always that the expense was incurred for business purposes and that the VAT on the receipt or invoice is clearly stated.

Spain determines itself, within the framework of the directive, to what extent costs related to private cars are eligible for refund. Some Member States exclude car-related costs entirely or partially, or only allow a portion of the VAT when a vehicle is also used privately. For parking specifically, it is assessed as a separate line item, separate from for example fuel or maintenance — one can therefore be treated differently from the other. What Spain precisely allows and under what conditions is set out per cost category in the Requirements list of the Dutch Tax Administration for this country.

Where that is stated: Directive 2008/9 and the Requirements list per country

Directive 2008/9/EC regulates the general right to reclaim foreign VAT for entrepreneurs who do not file a return in another Member State, and gives the refund Member State room to apply exclusions or restrictions per cost category, in particular for expenses related to means of transport. Which exclusions and percentages Spain concretely applies is laid down in the Requirements list of the Dutch Tax Administration per refund country, supplemented with the national rules as found in the Taxes in Europe Database of the European Commission.