Form 390 does not interrupt the prescription of the administration's right to settle the tax

The Supreme Court amends its case law on the scope of VAT Form 390 to interrupt the prescription of the administration's right to pay the tax

Summary:

The jurisprudential doctrine that, in relation to the General Tax Law of 1963, had granted interruptive effectiveness to the presentation of the said declaration is modified

In a recent ruling of 18 May 2020, the Second Section of the Third Chamber of the Supreme Court declared that the lack of settlement content of the annual summary declaration of Value Added Tax, the debatable "ratifying" nature of the previous settlements and the change in the legal regime, insofar as the current regulations indicate -now- that the quarterly settlements should not be accompanied by the model, determines that said annual summary (model 390) lacks the interruptive effectiveness of the right of the Administration to determine the tax debt of the monthly or quarterly periods of the corresponding annual period.

Thus, the jurisprudential doctrine that, in relation to the General Tax Law of 1963, had granted interruptive effectiveness to the presentation of the said declaration is modified.

The new case law coincides with the criteria of the Central Economic-Administrative Court which, in its resolutions subsequent to the General Tax Law in force, had departed from the previous case law of the Supreme Court.