In Spain, the consignment stock and call-off stock arrangements are inventory management practices that involve the storage of goods by a supplier in a customer's warehouse or location. In the consignment stock arrangement, the supplier retains ownership of the goods until they are consumed or sold by the customer. The goods are essentially held on consignment, and the customer acts as a custodian.

In the call-off stock arrangement, the supplier transfers goods to a location or warehouse controlled by the customer in anticipation of potential future sales. The customer has the right to take possession of the goods as needed, but ownership is not transferred until the goods are actually used or sold.

For both consignment stock and call-off stock, the value-added tax (VAT) is applied when the goods are taken out of the stock and used or sold by the customer. The VAT liability is typically triggered at the point of consumption or sale. It is important for businesses engaging in these arrangements to comply with the specific regulations and reporting requirements set by the Spanish tax authorities.

These inventory management practices offer certain benefits to businesses, such as improved supply chain efficiency, reduced storage costs, and better control over inventory levels. However, it is essential to carefully navigate the legal and tax considerations associated with the consignment stock and call-off stock arrangements to ensure compliance with the Spanish tax regulations.