Input VAT that is not deductible
If VAT is not deductible, it is not a modelo 303 credit. It may or may not be part of the income-tax cost. You confirm that. The app does not turn a bad receipt into deductible VAT.
When it is not deductible
It stays out, among other cases, on a simplified invoice without the data the rules require, on an expense that is not for the activity, under the equivalence surcharge and on an exempt activity with no right to deduct. In those cases the VAT is not subtracted on modelo 303.
- A receipt without the required data.
- An expense that is not for the business.
- Equivalence surcharge, or an exemption with no right to deduct.
Income tax is a different box
VAT not being a modelo 303 credit does not by itself say whether that amount enters the income-tax cost. Sometimes it is part of the cost and sometimes it is not. You confirm it. How the quarter is read is in modelos 303 and 130.
Common questions
Does non-deductible VAT reduce modelo 303?
No. It is not a modelo 303 credit. The app does not turn a bad receipt into deductible VAT.
Does that VAT enter the income-tax cost?
It may or may not be part of the cost. You confirm it. It is not automatic.
Official sources
Informational text reviewed on 26 September 2026. It is not tax advice and does not replace the Spanish Tax Agency or your accountant. Deadlines, rates, and forms can change.