BackAccording to the recent resolution of the Central Economic-Administrative Court (TEAC), in its resolution no. 1373/2022 dated December 21, 2022, limitations contained in articles 26.4 and 240.2 of the General Tax Law (LGT), which state that:
“Late payment interest will not be demanded from the moment in which the Tax Administration fails to comply for a cause attributable to it any of the deadlines set in this law to resolve until said resolution is issued or an appeal is filed against the presumed resolution. Among other cases, late payment interest will not be charged from the time the maximum periods for notifying the resolution of the requests for compensation, the act of liquidation or the resolution of the administrative appeals are not complied with, provided that, in the latter case, the suspension of the appealed act has been agreed. The provisions of this paragraph shall not apply to the failure to comply with the deadline for resolving requests for deferment or payment in installments” with regard to Article 26.4 of the LGT.
Once one year has elapsed since the initiation of the corresponding request without an express resolution having been notified and provided that the suspension of the challenged act has been agreed, the interest for late payment shall cease to accrue under the terms provided for in section 4 of article 26 of this law”.” Regarding Article 240.2 of the LGT.
Despite this, the TEAC concludes that the purpose given by a legislator in establishing limitations to the accrual of interest for exceeding the deadlines is to prevent the delay from having repercussions on taxpayers.
Finally, the TEAC assumes the criterion of the High Court of Justice of Madrid (judgment no. 46/2022, of February 2) and modifies the criterion it previously maintained, so that article 240.2 of the LGT is now also applicable to cases in which the cancelled debt was not suspended, in those cases in which it had been paid by the interested party.
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