Tax Updates

Author: Sandra Sariego, tax team leader The tax deductibility of directors´ remuneration is a topic that everyone has been talking for years. The multidisciplinary nature of the matter which cannot be understood if it is not analysed from a triple commercial, labour and tax perspective, and the fact that both Administration and the Courts have […]

The new Government of the Balearic Islands has abolished the Inheritance and Gift Tax (“ISD”) for acquisitions by death or through inheritance agreements (i.e., inheritance, legacy and inheritance in life) made between parents and children, grandchildren and grandparents, and between spouses. The rule provides that only tax residents in Spain can benefit from this elimination. […]

The deadline for filing the following tax returns is July 20th, 2023: Form 303: Quarterly VAT return. For taxpayers included in the immediate supply of information (SII) system, the deadline is July 31st, 2023. Form 349: (quarterly/monthly) EC sales list. Form 111: (quarterly/monthly, as applicable) withholdings and payments on account of personal income tax on […]

Under the exemption of Article 21 of the Corporate Income Tax Act, companies can transfer shares in other entities and benefit from an exemption of up to 95% of the profit. However, if the transferring entity has the status of an “asset-holding entity”, the exemption does not cover unrealised capital gains, resulting in higher taxation […]

Are you an employee working abroad and wish to reduce your tax burden? If so, it is essential that you are aware of article 7.p of the Personal Income Tax Act 35/2006. This legal provision establishes that employees who are tax resident in Spain may apply an exemption to income from work carried out abroad. […]

Authors: Beltrán Sánchez, Transfer Pricing Partner, and Tomás Luciano Ramin, Transfer Pricing Assistant   A few months ago, the Eighteenth Additional Provision was published in the Official State Gazette, concerning Temporary Measures in the Determination of the Tax Base in the Tax Consolidation Regime. At first glance, this measure appears to be controversial, at least […]

The Income tax return campaign is already underway and this year the Personal Income Tax (“IRPF” 2022) includes new features that must be taken into account, which we will detail in this article. Deadlines for submission The deadlines to submit the Income tax return, corresponding to the fiscal year 2022, began on 11 April 2023 […]

With the entry into force on 23 December 2022 of Law 28/2022, of 21 December, on the promotion of the start-up ecosystem, for the first time in Spain, the regulatory framework for innovative new technology-based companies with a scalable and stable business model, known as start-ups, is regulated, including a series of incentives which, in […]

  Author: Montserrat Carol, Tax Lawyer at Bové Montero y Asociados   On December 28th, Law 38/2022 of December 27th was published in the Official State Gazette (“BOE”), which, among other things, provides for the Temporary Solidarity Tax on Large Fortunes (hereinafter, “ITSGF”).   The main features of the new tax are as follows: It […]

The management of the new Excise Tax on Non-Reusable Plastic Packaging is very complex in practice, both for taxpayers and for the Tax Administration itself   Author: Pablo Mateos, Tax Lawyer at Bové Montero y Asociados   On 1 January 2023, Law 7/2022 of 8 April on Waste and Contaminated Land for a Circular Economy […]

  As a follow-up to the newsletter on the “Special tax on non-reusable plastic packaging” of last November, we inform you that on 1st January 2023, Order HFP/1314/2022, of 28 December, also came into force. This Order approves Form 592 “Special tax on non-reusable plastic packaging. Self-assessment” and Form A22 “Special tax on non-reusable plastic […]

As of 1 January 2023, the new Personal Income Tax Special Regime for workers posted abroad, also known as the “Beckham Law” or the “Beckham Regime”, which has been introduced by Law 28/2022, of 21 December, on the promotion of the start-up ecosystem, will come into force.   The main changes included in the new […]

In the following we summarized some important filing deadlines. We hope this information meets your interest.   Please keep in mind that 20th of January 2023 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 […]

Article written by: Montserrat Carol, Tax Advisor at Bové Montero y Asociados   We hereby wish to remind you that on January 1st, 2023, the “Special tax on non-reusable plastic packaging” will come into force. The tax is levied on the use of non-reusable packaging containing plastics, whether it is empty, or whether it is […]

  On Thursday, the Spanish Government presented a package of tax measures that would come into force as of 2023. These measures include both structural changes and measures of temporary duration during the years 2023 and 2024. Below we summarise some of these measures.   Personal Income Tax (“IRPF”)   In order to reduce the […]