REBU on imported cars: what it is and how it affects VAT

The REBU (Spain's special VAT scheme for second-hand goods, or margin scheme) is a way of accounting for VAT that a reseller, such as a dealer or a trader, can apply when selling a used car: the tax is calculated only on their profit margin, the invoice does not break it out and the buyer cannot deduct it. If you buy a used car from a professional in another EU country who applies that scheme, the purchase is not an intra-Community acquisition: the VAT is paid in the country of origin and you declare no VAT on it in Spain. The registration tax (impuesto de matriculación), on the other hand, applies all the same.

What the REBU is

It is a special VAT scheme for resellers, regulated in articles 135 to 139 of Spain's VAT Act, Law 37/1992 (Ley del IVA). It is applied by businesses that buy second-hand goods to resell them, such as a dealer who buys cars back from private individuals.

• What counts as second-hand goods. The law defines them as tangible movable property capable of lasting use which, having previously been used by a third party, can be used again for its specific purposes. A second-hand car fits that definition.
• Who applies it. The reseller, which the law defines as the trader who habitually supplies such goods acquired for later resale.
• To which sales. Among others, sales of second-hand goods that the reseller bought from someone who is not a trader or professional, or from another reseller who already applied the special scheme on their sale.
• It is optional. On those same sales the reseller may apply the general VAT scheme instead; in that case they deduct the VAT they bore when buying the goods.

The same type of scheme exists in the other EU countries, because the VAT directive provides for special schemes for second-hand goods. That is why a German dealer can sell you a used car with a “margin” invoice.

How VAT is calculated under the REBU

The taxable base is not the price of the car, but the reseller's profit margin on that transaction, reduced by the VAT amount that corresponds to that margin. The law treats the margin as the difference between the selling price and the purchase price of the goods, both including any VAT that applied to them.

An example with assumed figures and the standard Spanish rate of 21% (on a sale from another country, that country's rules apply): a reseller buys a car from a private individual for €20,000 and sells it for €23,630. The margin is €3,630, the taxable base is €3,000 and the VAT included in the price is €630. On the invoice you will only see the total of €23,630, with no separate VAT.

For someone buying as a private individual, the final price is what counts. The practical difference lies in what happens afterwards with the VAT, especially if you buy as a company.

If you buy as a private individual in another EU country

If a dealer in another EU country sells you a used car under the special scheme for second-hand goods, that purchase is not an intra-Community acquisition subject to Spanish VAT. Law 37/1992 expressly excludes from intra-Community acquisitions those of goods whose supply was taxed under the rules of that scheme in the Member State where the transport began. The VAT is settled there, within the price, and you do not file form 309 for that purchase.

What is still pending in Spain is the registration tax, which applies to the first definitive registration here even if the car is used. We explain this in how the registration tax is calculated. And for the number plate, when you buy from a trader in a country other than Spain, the DGT (Spain's traffic authority) asks for the invoice showing their VAT number: we cover this in how to register an imported car with the DGT.

The REBU does not apply to a “new” car

For VAT, a car is considered new if it is delivered within six months of its first entry into service or if it has not travelled more than 6,000 kilometres. One of the two conditions is enough.

If the car is new in that sense, buying it in another EU country is an intra-Community acquisition subject to VAT in Spain even if you are a private individual and whatever the seller's status. Spanish law also does not allow the special scheme to be applied to supplies of new means of transport that are sent to another Member State. An offer “with margin VAT” for a car with very few kilometres deserves a question before you pay. We go into detail in VAT on a car bought in the EU.

If you buy as a company or self-employed

Here the REBU does change the result. The law is clear: VAT borne by someone who acquires second-hand goods supplied to them by a reseller applying the special scheme is not deductible. Also, as the purchase is not an intra-Community acquisition, you do not declare that VAT in Spain. The margin VAT, included in the price, stays as a cost.

If the seller applies the general scheme, the transaction changes: a purchase by one trader from another trader in the EU is, in general, an intra-Community acquisition, and the Spanish Tax Agency (AEAT) states that this VAT is settled on form 303 and can be deducted when the requirements of the law are met. For a passenger car, the law presumes it is used for the business in a proportion of 50%, so what you can deduct depends on that allocation.

If you are buying for your business, ask for the offer under both schemes and check with your adviser which suits you.

How to recognise a REBU invoice

• It does not break out the VAT. On invoices for transactions under this scheme, the seller cannot show the VAT amount separately: it is understood to be included in the total price.
• It carries an express mention. The EU VAT directive, as amended by Directive 2010/45/EU, requires the invoice to include the mention “Margin scheme — Second-hand goods” (in the Spanish version, “Régimen especial – Bienes de ocasión”) when one of these schemes is applied. On Spanish invoices, the invoicing regulations require the wording “régimen especial de los bienes usados” (special scheme for second-hand goods; translated from the Spanish).
• It identifies the seller with their VAT number, the detail the traffic authority will ask you for.

If the invoice does not make clear which scheme applies, ask the seller to state it in writing before you pay.

Mistakes to avoid

• Thinking the REBU frees you from everything. It frees you from VAT in Spain on that purchase, not from the registration tax or the other formalities.
• Accepting a margin invoice on a car that is “new” for VAT. Check the date of first entry into service and the kilometres.
• Counting on deducting the VAT on a REBU purchase if you are a company or self-employed: the law does not allow it.
• Filing a form 309 that does not apply. If the car is used and the sale was taxed under the special scheme at origin, there is no intra-Community acquisition to declare.

This guide refers to the mainland and the Balearic Islands: for VAT purposes, the Canary Islands, Ceuta and Melilla are not considered Community territory. Each transaction has its nuances: if in doubt, consult the Tax Agency or a tax adviser.

Sources consulted

Checked on 11 October 2026. We link to the original source so that you can consult the current text.

• Ley 37/1992, de 28 de diciembre, del Impuesto sobre el Valor Añadido (texto consolidado). BOE.
• Directiva 2010/45/UE del Consejo, de 13 de julio de 2010, por la que se modifica la Directiva 2006/112/CE en lo que respecta a las normas de facturación. DOUE (vía BOE).
• Real Decreto 1619/2012, de 30 de noviembre, Reglamento por el que se regulan las obligaciones de facturación (texto consolidado). BOE.
• Adquisiciones y entregas intracomunitarias. Agencia Tributaria.
• Ley 38/1992, de 28 de diciembre, de Impuestos Especiales (texto consolidado), artículo 65. BOE.
• Matriculación de vehículos nuevos y vehículos provenientes del extranjero. DGT (sede electrónica).