Tax Updates

New Spain –Netherlands Tax Agreement: Significant Impact On International Structures On 10 March 2026, the Spanish Council of Ministers has authorised the signing of a new Double Taxation Agreement (DTA) between Spain and the Netherlands, which will replace the agreement currently in force since 1971, one of the oldest in Spain’s agreement network. Although the […]

Tax obligations Q1 2026 We hope the following information is of your interest. Please keep in mind that the deadline for filing the following declarations is April 20th, 2026: – Form 303, quarterly VAT return. Filing deadline for taxpayers included in the Immediate Supply of Information (“SII”) system is April 30th, 2026. – Form 349, […]

 New Public Country-by-Country Reporting (Public CbCR) Obligations Law 28/2022 has transposed Directive (EU) 2021/2101 into Spanish law, introducing an obligation for certain multinational groups and entities in Spain to prepare and publish a Public Country-by-Country Report (Public CbCR) on corporate income tax. This measure strengthens tax transparency within the European Union, primarily affecting groups with a consolidated turnover exceeding 750 million […]

Intensified Penalties for Late Submission of SII (VAT) Records The State Tax Administration Agency (AEAT) has intensified its verification procedures regarding the late submission of records through the Immediate Supply of Information (SII) system for VAT.  Contrary to previous practice, these verifications are now resulting, in certain cases, in the actual imposition of penalties.  SII Record Submission Deadlines  In general terms, […]

A new extension to the exceptional regime relating to the legal grounds for dissolution due to losses was published in the Spanish State Gazette (BOE) of 24 December under the Fourth Additional Provision, once again addressing the interpretation and application of Article 363.1.e) of the Consolidated Text of the Spanish Law on Capital Companies (LSC).

The recent ruling by the Directorate-General for Taxation (Consultation V2212-25, of 18 November 2025) clarifies key aspects of the treatment of services provided between a Spanish branch and its Italian head office, which forms part of an Italian ‘VAT group’, and its impact on the pro rata deduction. The consultation, submitted by a multinational banking […]

Please keep in mind that 20th of January 2026 is the deadline for filing, among others, the following tax returns (quarterly/monthly – as applicable): -Form 111: For withholdings and payments on account of Personal Income Tax on earned income and business activities income. – Form 115: For withholdings and payments on account on income from […]

Below we highlight a series of tax obligations to be taken into account during the month of December, which, in short, are the following: – Corporate Income Tax Advance Payments 2025. – Local business tax (IAE). – Immediate Information Supply (IIS). – Country by country information (form 231). Please find the corresponding content mentioned below. […]

Through its judgements of 29 October and 3 November 2025, the Spanish Supreme Court confirms that non-residents may benefit from the joint limit rule set out in the Wealth Tax (IP) Law, thereby potentially obtaining a reduction in their IP liability.  Please bear in mind that, under this joint limit rule, the sum of Personal Income Tax (IRPF) and Wealth Tax (IP) may not exceed 60% of the taxpayer’s total income. If this threshold is exceeded, the […]

We are writing to remind you of the obligation to file Form 232 – “Informative return on related-party transactions and on transactions and situations relating to countries or territories classified as tax havens” – during the current month, November 2025. Form 232 covers and expands on information previously included in Form 200, the annual Corporate […]

In the following we summarized some important filing deadlines. We hope this information meets your interest. Please keep in mind, that the deadline for filing the following tax returns is October 20nd, 2025: – Form 303, quarterly VAT return. Filing deadline for taxpayers included in the Immediate Supply of Information (“SII”) system is October 30th, […]

National Court Ruling 3630/2025 is a significant milestone in the taxation of non-EU residents in Spain. Previously, taxpayers who obtained income from the rental of properties located in Spain could not deduct any expenses and were obliged to pay tax at a rate of 24% on gross income. This was in contrast to EU residents, […]

On 17 July 2025, the Central Economic-Administrative Court (TEAC) issued a ruling that unified the criteria for applying R&D&I deductions. This resolved the controversial issue of whether an R&D&I deduction generated in a given financial year could be applied in subsequent years, even if it had not been included in the self-assessment for the year […]

With effect from 25 July 2025, the Inheritance and Gift Tax regulations in the Balearic Islands will exempt gifts between direct family members (i.e. spouses, children, and grandchildren) from taxation. The new regulations introduce a 100% deduction on tax liability for gifts between family members in Groups I and II. Until now, only inheritances between […]

We hope the following information is of your interest. Please keep in mind, that the deadline for filing the following tax returns is July 21st, 2025: • Form 303, quarterly VAT return. Filing deadline for taxpayers included in the Immediate Supply of Information (“SII”) system is July 30th, 2025. • Form 349, (quarterly/monthly) EC Sales […]