The Council of Ministers approved this Tuesday a drop in the VAT for the digital press and e-books to equate it with paper publications. From now on, they will be subject to a type super-reduced of the 4%, in front of twenty-one% current.
This was confirmed this Tuesday by the Minister of Economy, Nadia Calviño, during the press conference of the Council of Ministers. With this decision, one of the requests that had been forwarded to the Government several weeks ago by the media associations was complied with.
In this case, they intended to end the imbalance in the payment of VAT that existed between books and printed newspapers and digital, since the latter were subject to 17 more points of VAT.
It must be borne in mind that the media are considered an essential service and, therefore, have been able to maintain their activity during the crisis of coronavirus. Now, the stoppage of a good part of economic activity has affected his business, given that advertising investment has fallen significantly in recent weeks and, with it, his income.
Institutional Advertising Plan
In addition to this VAT reduction, the media have also asked the Government for approval of the Institutional Advertising Plan 2020 and a discount on the taxes paid by advertisers for hiring spaces in these companies, so that investment is encouraged.
A few weeks ago, the Cabinet approved an injection of 15 million euros for private televisions that will serve to defray a part of the costs that they assume for bringing their signal to the areas of Spain that have a lower commercial interest for these companies.