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Drivalia absorbs 3% VAT Increase

Peugot-208The new Spanish IVA/VAT rate will take effect on 01 September 2012. At Drivalia Car Rental we are absorbing an amount equivalent to the extra 3% VAT increase on all bookings taken before 31 August. In Spain there are three levels of VAT: on the 1st September the general rate, which includes car rental and fuel, increases from 18 to 21%; the reduced rate of 8%, which applies to most foodstuffs, passenger transport, motorway tolls, hotel and restaurant services and others, increases to 10%. The super-reduced rate of 4% for basic items of need like bread, eggs and milk remains unchanged. For everyone who has already made a booking with Drivalia, regardless of the rental period, as a gesture of goodwill we will absorb the 3% IVA/VAT increase by reducing our base rental rate. The price you have already been quoted is the price you will pay; and we will do the same for everyone who books by 31 August 2012. For example, if the price today is 140 Euros (118,64 + VAT @ 18%) for 1 week in September, your final invoice will show 115,70 + VAT @ 21% = 140 Euros. This price adjustment will apply to all car hire groups. It will not apply to fuel and other extras. If you are heading to Alicante and you want to avoid the 3% IVA/VAT increase on car hire charges, make your booking with us now.