Deciphering Spanish Tax IDs: The Roles of CIF and NIF in Spain

TA Lawyers
CIF and NIF in Spain

If you plan to reside in Spain or carry out any legal or financial activity, it is essential to obtain a tax identification number. This NIF can be either NIF or CIF, and can coincide with your NIE or DNI.

 

We will explore the specific scenarios that require a NIF, the process for acquiring one, and clarify the differences between a CIF and a NIF.

 

Who Requires a Tax Identification Number in Spain?

If you are involved in economic or financial activities in Spain, you will need to apply for a tax identification number. This number is your specific identifier in front of the Spanish Tax Agency, essential for them to control and supervise all your operations, both those that involve tax payments and those that do not.

 

That is why it is so important that you apply for it. Without it, you will not be able to carry out many specific procedures.

 

We are talking about legal procedures such as creating your company in Spain, registering as a freelancer, invoicing or buying a home in the country. In addition, this number is also useful for other legal procedures, such as obtaining your driver's license.

 

Here there is an important distinction that we will go into in more detail in the following sections.

 

If you are a foreigner residing in Spain, your NIE will in many cases also function as your tax identification number (although the NIE is basically your general number to identify you in any procedure).

 

Spaniards use their DNI (national identity card), which also acts as their NIF (tax identification number for individuals).

 

But if you decide to create a company, then you will have to apply for an additional identification number called CIF.


What is a CIF Number in Spain?

The CIF is the number that identifies companies or legal entities in Spain. So if you are thinking of setting up your business on Spanish soil, you will need this additional number, since your personal tax ID is not enough.

 

This CIF consists of a letter followed by eight digits, totaling 9 alphanumeric characters:

  • The first letter indicates the type of organization or business structure. For example, A for corporations, B for limited liability companies. Each type of company is assigned its own letter.
     
  • The next two digits indicate the geographic region of the company. For example, 58 is for Barcelona and 28 for Madrid.
     
  • Then, a unique 5-digit number.
     
  • And at the end, a check digit, which can be a number or a letter, calculated from the previous characters.
     
  • It is key to know that this CIF is also the VAT number in Spain (unlike other countries where the CIF and VAT are different).

 

One more thing: although many still refer to it as CIF, legally this term ceased to exist since 2008, when it merged with the NIF. But, be careful, this does not change the fact that the procedures and requirements vary if you are a company or an individual.
 

Requirements to Get a CIF

To get your CIF, you will basically need to submit:

 

  • A written request for a CIF, which must be signed by the company's representative.
     
  • The DNI of this representative.
     
  • A certificate of good standing containing all relevant company information: company name, legal address, nationality, date of registration, legal funds, representatives, and other relevant data.

 

How to Know the CIF of a Company

The CIF of a company in Spain can be found on official documents such as invoices, contracts, or via the Spanish Business Register. It's public information and can be accessed for legitimate business inquiries.
 

What is the NIF?

It is very likely that you do not need a CIF.

 

In fact, to carry out financial or legal procedures on your own, you only need your NIF.

 

The NIF is your Spanish identification number and has two variants:

 

  • If you are Spanish, your NIF is your DNI, made up of 8 numbers and one letter.
     
  • If you are a foreigner, your NIF will be your NIE, composed of a letter (X, Y, or Z), followed by 7 numbers and another letter.

 

Both numbers are issued by the Ministry of the Interior in Spain.

 

Requirements to Get a NIF

You will need to present the following three documents:

 

  • An identification document, such as your passport or a DNI similar to the Spanish one.
     
  • A power of attorney, in case you are applying through a representative. This is common for foreigners who are not in Spain and cannot or prefer not to travel to the country.
     
  • A proof of residence, to verify the consular jurisdiction that corresponds to your particular case.

 

Differences Between the NIF and the DNI

While the DNI is the document that identifies Spanish citizens in general for any legal activity, the NIF is necessary for operations with tax or customs implications.

 

Thus, if the authorities need to identify you in general, if you have to sign any document or if you are going to travel abroad, the DNI (or the NIE if you are a foreigner) will be your identification document.

 

But, if the procedure you are carrying out is of an economic nature and is related to your personal taxes, then you will use the NIF.

 

Request Legal Assistance with Your Tax Numbers

Now you know the key differences between the NIF, CIF, NIE and DNI. But if you still have doubts or need legal assistance to apply for any of these documents, don't worry.

 

Just make an appointment and one of our lawyers will contact you. We will guide you step by step and we will take care of the whole procedure so you don't have to worry about anything, we are here to help you!