VAT Information For WOMEX 26
Local Consumer Tax (IGIC) Charge on Admission Fees
In accordance with EU tax regulations, Delegate registrations fall under the rule for taxation of admission to cultural events. Admission fees are taxed in the country where the admission takes place.
The Canary Islands are not part of Community territory for the purposes of EU VAT (Article 6 of the VAT Directive). VAT does not exist in the Canary Islands, but there is a local consumer tax known as the IGIC.
The applicable IGIC rate for admission fees regarding WOMEX 26 is a reduced rate of 3%.
IGIC has to be charged on all delegate registration fees for WOMEX 26, regardless of where the taxable person is based. It is also exempt from the reverse charge procedure for EU companies with a valid VAT ID number.
For more information, please visit the European Commission Taxation and Customs Union website and the Agencia Tributaria Canaria website.
IGIC / VAT On Trade Fair Stand Bookings (Event Packages)
The applicable IGIC rate for trade fair stand bookings (including services, event package) regarding WOMEX 26 is 7%.
If you book a trade fair stand at WOMEX 26 in addition to your registration (event package) you do not need to pay IGIC or VAT, if:
- your company is based in the EU and you have a valid EU VAT ID or
- your company is based outside the EU and can provide proof of tax residence and entrepreneurship.
However, the following cases require payment:
| Company location / situation | Tax applicable on event package |
|---|---|
| Based in the Canary Islands | 7% IGIC |
| Based in Germany | 19% German VAT |
| Based in the EU without a valid EU VAT ID | 7% IGIC |
| Based outside the EU without proof of tax residence and entrepreneurship | 7% IGIC |
Tax Reclaim
If you are a company from inside the EU you can claim a VAT refund by contacting your local tax authorities in your country and they will claim the refund electronically from the local tax authorities.
Taxable persons from outside the EU who incur VAT in connection with their business activities in an EU Member State in which they do not make supplies of goods or services, are usually entitled to deduct the VAT charged in that EU Member State. This "deduction" is typically by means of a refund of VAT from the EU Member State in which the VAT was paid. Please contact your local tax authorities about how to claim the VAT refund.
A taxable person is allowed to deduct the VAT they paid on their purchases insofar as the goods or services are used for their business activities. However, there is no right to deduct input VAT if they:
- use them for an exempt activity or
- are not obliged to charge VAT on their outputs (e.g. schools, banks, insurance companies, small businesses under the exemption threshold etc.).
For further information the following websites provide good guidance and please contact your own tax consultant:
- Right to deduct input VAT and VAT refunds – European Commission
- Application for refund for businesses or professionals not established in the Canary Islands – Agencia Tributaria Canaria
You are also advised to seek your own professional tax advice if in doubt.