Understanding Spanish Invoices & How to Pay a Bill in Spain
Doing business in Spain can be an exciting and rewarding experience, but it pays to know what to expect when dealing with Bill in Spain. Before you make any payments in Spain, take a look at our comprehensive guide on understanding local invoicing practices and find out how best to pay your bills.
Check Your Supplier’s Contact Information.
Before you make any payments, it’s a good idea to double-check the contact information of your supplier from the invoice. Make sure that the company name, VAT number, bank details, and address all correspond with the vendor you’re making a payment to. This helps ensure that you don’t mistakenly pay money to the wrong party.
Check Your Supplier’s Contact Information.
Before you make any payments, it’s a good idea to double-check the contact information of your supplier from the invoice.
A Spanish invoice is composed of different elements, including :
- The supplier’s details,
- The name of the supplier,
- VAT number and
- the address;
- The telephone number and/or email address
- Customer details, such as
- Name of the customer or company.
- Address and
- VAT number
- Telephone and/or email
A detailed description of the product or service purchased; the prices of each purchase.
The taxes applicable to the transaction; in Spain the standard VAT is 21% but there is also a 10% VAT (for houses for example).
Or the super-reduced Iva of 4% (for basic food, for example).
Any discount applied to the final invoice amount and how much money the customer has to pay.
And the method of payment by cash or transfer.
Please note that you cannot pay a professional or company more than €1,000 in cash in Spain.
Translation and Formatting Help with Obscure Terms and Abbreviations.
It is legal to make an invoice in a language other than Spanish.
Understanding vague terms and abbreviations on Spanish invoices can be difficult.
Don’t worry – most invoices are written in Spanish with English translations available, so you can easily understand them.
If you’re still having trouble understanding what an abbreviation means or don’t know the exact definition of an obscure word, ask your suppliers for translation and formatting help.
This should include a breakdown of each line item, sometimes including the original Spanish version, so that all parties involved are on the same page.
Recognize Any Fees or Extra Charges in Bill in Spain.
Businesses in Spain usually don’t include taxes, shipping costs, and other fees on their invoices.
That’s why it’s essential to double-check each document you receive in order to verify any extra or hidden charges. Timing is also a factor with any international transaction: Some Spanish invoices might carry interest rates or late payment fees if they’re not paid on time, so be sure to stick to the payment deadlines stated in the invoice!
Fill out the Payment Info in the Spanish Invoice Properly.
When you receive a Spanish invoice, it is crucial to make sure that all of the payment information is filled out correctly.
The invoice may require you to include information such as your bank account number or billing address in order for the payment to go through.
In addition, the document will likely indicate what currency the total amount should be paid in (typically Euro) and where your money will have to be sent.
Make sure you double-check this information before confirming the transaction!
In general, invoices in Spain are paid by direct debit unless you have to pay by bank transfer.
Did you know that taxes in Spain are also paid by direct debit?
