The Spanish Directorate General of Taxes has issued the Resolution of 24 February 2025 on the VAT rates for bread, which was published in the Official Gazette on 27 February 2025. Under the law, ordinary bread benefits from a super-reduced VAT rate of 4%, while special bread is taxed at a higher 10% rate. Following a Supreme Court ruling issued in October 2024, the resolution confirms that different types of special bread, including gluten-free bread, also qualify for the 4% VAT rate. This aims to align with EU principles of VAT neutrality and ensure fair competition. The decision applies retroactively,...