Spain has published Royal Decree 400 of 8 June 2021 in the Official Gazette, which regulates certain aspects of the country's new Digital Services Tax (DST). The DST entered into force on 16 January 2021, with an initial deferral provided so that the initial self-assessment return and payment corresponding to the first quarter of 2021 is due by the deadline for the second quarter of 2021 (i.e., from 1 to 31 July 2021).

Royal Decree 400 regulates rules on:

• The location of user devices, which is used in determining whether supplies are subject to DST in Spain;
• The obligation to retain records on service provided and descriptive report, which must be made available to the tax administration on a quarterly basis by persons subject to DST;
• The specific content of the records to be kept, including total income and other records depending on the type of taxable service;
• The specific content of the descriptive report, including an analysis of the application of DST, the attribution of the provision of services to the territory of Spain, and the calculation of income subject to DST; and
• The obligation to establish internal systems or mechanisms that allow for the location of user devices in the territory of Spain or engage third parties to provide location services.

Royal Decree 400 entered into force on 10 June 2021.