In its judgment of January 31, 2024, the Superior Court of Justice of Madrid examines two main aspects. First, the validity of a loan granted by the appellant entity to another entity, as well as the consideration of such loan as uncollectible, which would allow its deduction as a loss in the impairment of the… Continue reading The Superior Court of Justice of Madrid has ruled that the deduction for the impairment loss on the loan is valid
Tag: Corporate Income Tax
The donation of shares
The donation of shares can be a valuable instrument in the context of corporate reorganization, allowing entrepreneurs to plan generational succession and transfer control of the company to their heirs or other family members. In this article, the most significant aspects of the donation of shares are examined from a corporate perspective. Capacity and… Continue reading The donation of shares
Digital nomads and other collectives arriving in 2022 and 2023 will be able to retroactively apply for the ‘Beckham Law’.
On December 7, 2023, Royal Decree 1008/2023, of December 5, 2023, which amends the Personal Income Tax Regulations, came into force. Among the main modifications, the adaptation of the “Beckham Law” application procedure stands out, for those new groups that want to apply to the regime as a result of the modifications of the Personal… Continue reading Digital nomads and other collectives arriving in 2022 and 2023 will be able to retroactively apply for the ‘Beckham Law’.
Tax advisor: Tax Modifications 2023: Updates in RIRPF and RIS Regulations
RIRPF : Personal Income Tax Regulation . RIS : Non-Resident Income Tax Regulation The Royal Decree 1008/2023, in effect since December 7, 2023, introduces changes to the Personal Income Tax Regulations and Corporate Income Tax Regulations. The modifications cover aspects such as fringe benefits, maternity deduction, declaration requirements, advance payments, and the special regime applicable… Continue reading Tax advisor: Tax Modifications 2023: Updates in RIRPF and RIS Regulations
Tax advisor: Can the interest deductible in Corporate Tax on loans from partners be valued through the internal comparable chosen in accordance with article 16 of the previous Consolidated Text of Corporate Tax Act?
The settlement agreement in question dealt with the regularization of personnel expenses and financial expenses, triggering an administrative challenge due to the deduction of interest related to an internal loan. The central question that raises an appealable interest focuses on two essential aspects. Firstly, it is a question of determining whether the remuneration received by… Continue reading Tax advisor: Can the interest deductible in Corporate Tax on loans from partners be valued through the internal comparable chosen in accordance with article 16 of the previous Consolidated Text of Corporate Tax Act?
Tax Advisor: The Supreme Court reduces fines from the Tax Authorities for using intermediate companies and paying less taxes
Citizens penalized for using intermediary companies in order to reduce their income tax (IRPF) can now subtract the amounts paid for corporate income tax when calculating the basis of the fine, according to a Supreme Court ruling issued on June 8, 2023. The reporting judge argues that in these cases the economic damage to public… Continue reading Tax Advisor: The Supreme Court reduces fines from the Tax Authorities for using intermediate companies and paying less taxes
Tax advisor: Parents who transfer the family business with assets not linked to the activity will have to pay taxes for capital gains in the Personal Income Tax
In gifts of family businesses from parents to children, in which assets not linked to the activity are included, the donor will be subject to income tax (IRPF) on a capital gain based on the proportion that these assets represent in the assets of the company. This approach is reflected in a decision of the… Continue reading Tax advisor: Parents who transfer the family business with assets not linked to the activity will have to pay taxes for capital gains in the Personal Income Tax
Tax advisor: The Supreme Court allows the self-employed to deduct late payment interest paid to the Treasury in their personal income tax return.
The recent Supreme Court ruling no. 1091/2023, dated July 24, establishes that, in the field of Personal Income Tax (IRPF), late payment interest related to the taxpayer’s economic activities, whether derived from income verification settlements or suspensions of contested administrative acts, are considered tax-deductible expenses. This interest, classified as financial expenses, is subject to the… Continue reading Tax advisor: The Supreme Court allows the self-employed to deduct late payment interest paid to the Treasury in their personal income tax return.
Tax Advisor: The Supreme Court defines how to register expenses of a foreign branch in the Corporate Income Tax
In recent rulings, the Supreme Court establishes that, when calculating the income from activities carried out by a company in a foreign branch, exempt under article 22 of the Consolidated Text of the Corporate Income Tax Law (TRLIS), the general management and administration expenses that contribute to the purpose of the branch can be apportioned… Continue reading Tax Advisor: The Supreme Court defines how to register expenses of a foreign branch in the Corporate Income Tax
Tax advisor: Is it necessary to have an employee for renting to be considered an economic activity?
The great interest of savers and investors in real estate assets has tax implications in Spain, as it is necessary for real estate leasing activities to be considered as an economic activity. Without this qualification, tax benefits such as exemptions and tax burden reductions are lost. For example, in the case of Personal Income Tax… Continue reading Tax advisor: Is it necessary to have an employee for renting to be considered an economic activity?