With the implementation of the Spanish Anti-Fraud Law (Law 11/2021) and the obligations derived from the Verifactu system, all merchants operating physical points of sale must adapt their invoicing and payment processes to meet Spanish tax regulations. In this article, we explain when a full invoice is mandatory and what cash payment limits apply, both for domestic and international customers.
Mandatory Full Invoice for In-Store Sales
According to the Spanish Invoicing Regulations (Royal Decree 1619/2012), merchants are required to issue a full invoice instead of a simplified one when:
The total amount of the transaction (including VAT) is equal to or exceeds €3,000, or
The invoice is requested for tax purposes, typically by a business or self-employed professional.
Therefore, if a sale in-store exceeds €3,000, you must collect the customer’s tax data (name, tax ID, and fiscal address) and issue a full invoice via your invoicing system.
Comply, integrated with Shopify POS, enables the generation of full invoices for qualifying orders. When this threshold is reached, Comply displays tax alerts directly within Shopify POS, prompting you to collect the required information.
Invoice Retention: Duration and Format
Whether you issue simplified or full invoices, you are legally required to retain all documents related to your tax obligations. This includes:
Issued invoices (originals or copies)
Received invoices
Payment confirmations
Documentation related to special VAT schemes or reverse charge mechanisms
How long must invoices be retained?
Under Spanish tax law (General Tax Law, Art. 29.2.e and VAT Law, Art. 165), these documents must be retained for a minimum of 4 years from the date of issuance or receipt.
In certain specific cases—such as transactions involving investment gold or VAT adjustments—the retention period may extend to 5 years or more, depending on the applicable tax period.
Can invoices be stored digitally?
Yes. Electronic retention is allowed, provided the following conditions are met:
Authenticity of origin is ensured
Integrity of content is preserved
Readability of the document is maintained
Immediate access to documents is possible for tax authorities
How does Comply help?
Comply guarantees long-term storage of all invoices issued through Shopify POS for the legally required period.
Invoices are securely stored in the cloud, with unique identifiers, full traceability, and a structure compliant with Verifactu requirements.
Merchants can access and download invoices at any time, in PDF or CSV format, for submission to the tax administration.
This functionality applies to simplified, full, and credit invoices, with no additional configuration required from the merchant.
Legal Limits on Cash Payments
The Anti-Fraud Law introduces strict limits on cash payments for transactions where one of the parties is a business or professional. These limits vary depending on the customer’s tax residency:
1. Customer with Tax Domicile in Spain (Domestic Customer)
Maximum cash payment: €1,000 (including VAT) per transaction
This limit applies even if the customer is an individual (not a business)
Splitting a transaction into smaller payments to bypass the limit is prohibited
2. Customer Without Tax Domicile in Spain (Non-Resident Customer)
Maximum cash payment: €10,000, provided the non-resident status is properly documented
The customer must not act in a business or professional capacity
What qualifies as a cash payment?
Cash includes any untraceable means of payment, such as:
Banknotes and coins (in euros or foreign currency)
Bearer bank checks
Any physical or electronic instrument designed for payment by a bearer (e.g., anonymous prepaid cards)
Comply will display real-time tax alerts in Shopify POS when a payment exceeds the legal cash limits, helping ensure full compliance.
What Happens If Cash Payment Limits Are Violated?
Both the merchant and the customer may be held liable if the legal cash limit is exceeded. Fines can reach up to 25% of the amount improperly paid in cash. Additionally:
Violations can be reported via the Spanish Tax Agency’s online portal
Claiming ignorance of the regulation does not exempt the merchant from liability
How Does Comply Help You Stay Compliant?
The Comply app, integrated with Shopify POS, supports merchants by:
Monitoring payment methods and triggering alerts when cash limits are exceeded
Prompting merchants to request customer tax data during invoice creation (compatible with Shopify POS fields)
Recording each transaction in a tamper-proof, compliant format to ensure traceability and legal integrity