Triangular dropshipping taxation: China → USA without VAT

In a triangular dropshipping model, you (in Spain) sell to a customer in the USA, but the product ships directly from the supplier in China to the American buyer. The goods never touch Spain. Which taxes apply?

Do I have to charge VAT?

No. With no import and no sale within EU territory, the transaction is outside the scope of Spanish VAT. But you must declare the income in your corporate or personal income tax as worldwide income.

And US sales tax?

It depends. If you have economic nexus in a state (for example, you exceed a sales threshold in California), you should register and charge sales tax. This mainly affects high-volume sellers.

How is it booked?

The income is recorded as an export of services (commercial intermediation) and the cost of the product from the Chinese supplier as a reverse-charge purchase or import of services, depending on the structure.

Triangular dropshipping is complex for tax purposes. Ask EkonYou.

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