Proper invoicing is one of the most critical tasks for any self-employed professional, and architects are no exception. Correctly applying VAT (IVA) and IRPF withholdings not only ensures compliance with the Spanish Tax Agency (AEAT) but also projects a professional image to your clients. Here, we break down everything you need to know in 2026.
VAT on Architectural Services: The General Rate of 21%
As a general rule, professional services provided by architects, whether it's project drafting, construction management, or issuing reports, are subject to the general VAT rate of 21%.
This percentage is applied to the taxable base of your invoice, i.e., your fees. The VAT you charge your clients must be paid quarterly to the Tax Agency via Form 303.
It's important to note that there are some very specific exceptions, such as those related to the first delivery of social housing (VPO), but for most standard services, 21% is the correct figure.
IRPF Withholding: When and How to Apply It?
IRPF (Personal Income Tax) withholding is an advance payment of your income tax that your client pays to the AEAT on your behalf. The key here is to know who you are invoicing:
* If your client is a company, another freelancer, or a community of owners: You must apply an IRPF withholding on your invoice.
* If your client is a private individual: No IRPF withholding is applied.
The applicable withholding rate is:
* General rate of 15%: This is the standard percentage for most professionals.
* Reduced rate of 7%: You can opt for this rate during the year you start your activity and the following two years. It's a voluntary option to have more liquidity at the beginning, but remember it may result in a higher payment in your annual tax return.
Example of an Architect's Invoice
Let's imagine you are invoicing a company for a design service for €2,000.
* Taxable Base (Fees): €2,000.00
* + 21% VAT (€2,000 * 0.21): €420.00
* - 15% IRPF Withholding (€2,000 * 0.15): -€300.00
* Total to Receive: €2,120.00
Your client will pay you €2,120 and will pay the €300 withholding to the Tax Agency for you.
Prepare for the Future: VeriFactu and Electronic Invoicing
The way we invoice is about to change dramatically. Traditional methods like using Word or Excel templates will no longer be compliant. The implementation of verifiable invoicing systems, or VeriFactu, is imminent.
These systems require the use of invoicing software that guarantees the integrity and immutability of records, communicating them to the AEAT. The key deadlines are:
* January 1, 2027: Mandatory for companies that are not micro-enterprises.
* July 1, 2027: Mandatory for freelancers and micro-enterprises.
Being proactive is crucial. To learn all the details, we recommend checking our guide on the VeriFactu 2027 deadlines for freelancers in Spain. Adapting your processes now will save you headaches and potential fines in the future.