What is IGIC?
The Canary Islands have their own system of VAT, It’s called the Canary Island General Indirect Tax (IGIC). IGIC is similar to VAT, but it has several key differences, including an exemption for telecommunications services.
As of January 1, 2017, to request the deferral or split of debts of the IGIC, it must be duly justified that the assessed contributions have not actually been paid.
In the event that such justification is not made, requests for deferral or division will not be accepted.
This new measure is included in article 6, section 2 of the Royal Decree-Law 3/2016, of 2 December, which adopts measures in the tax field aimed at consolidating public finances and other urgent social measures
(BOE of 12/3/2016), which amends section 2 of article 65 of Law 58/2003, of December 17, General Tax.
This means that, in practice, deferrals or breakdowns of the IGIC will not be allowed, since it will not be possible to justify, except in exceptional cases, that the quotas passed on have not actually been paid.