In 2023, the Directorate General of Taxes (DGT) has modified its criteria and now allows to apply a 40% reduction in the IRPF for withdrawals of different pension plans in several years, not limited to the same tax period. This is evidenced by more than 150 binding responses to taxpayer queries issued during this year,… Continue reading Tax advisor: Tax Authorities allow to deduct the pension plan in the Personal Income Tax for several years
Tag: deduction
Tax Advisor: Is it valid to deduct an expense incorrectly accounted for in a year subsequent to that of its accrual, according to the accounting rules, if the year in which the accrual occurred is already time-barred?
The lower court holds that the tax authorities allow the deduction of an expense accrued in a previous year in a subsequent year, as long as the year in which the accrual occurred is not time-barred, considering the statute of limitations as from the deadline for filing the tax return of the year in which… Continue reading Tax Advisor: Is it valid to deduct an expense incorrectly accounted for in a year subsequent to that of its accrual, according to the accounting rules, if the year in which the accrual occurred is already time-barred?
Tax advisor: Ways to take advantage of donations to reduce the tax burden on the Personal Income Tax return
Donations can have a positive impact on your tax burden, as they not only contribute to charitable causes, but also provide significant tax benefits. When filing your income tax return, we can use donations to reduce the amount you have to pay. Below, we will explain the requirements and steps to take full advantage of… Continue reading Tax advisor: Ways to take advantage of donations to reduce the tax burden on the Personal Income Tax return
Tax advisor: Deductibility in the Corporate Tax denied after justifying it with general considerations without effective impact on the assets
The High Court of Justice of the Balearic Islands examines the deductibility of an impairment provision made by the taxpayer in 2014 for five properties. The Chamber begins by highlighting that, according to accounting rules, a property experiences impairment when its book value is greater than its recoverable amount, which is the higher of its… Continue reading Tax advisor: Deductibility in the Corporate Tax denied after justifying it with general considerations without effective impact on the assets
Tax Advisor: Extension of the deductions in the Personal Income Tax of the Community of Madrid for 2023
Law 10/2023, of April 12th, which has been published in the Official Gazette of the Community of Madrid, has modified the Law of Madrid’s Assigned Taxes. The objective is to incentivize improvements in rental housing through the introduction of new deductions in the Personal Income Tax. New measures Among all the new measures we will… Continue reading Tax Advisor: Extension of the deductions in the Personal Income Tax of the Community of Madrid for 2023
Tax advisor: The bank certificate is sufficient to prove the loss due to the transfer of financial investments between related companies
The question that arises is the deductibility of losses due to the transfer of financial investments between related companies. The Administration has denied the deduction of the due to the bankruptcy of the related company, considering that the evidence provided by the plaintiff was insufficient. The Chamber considers that the subject matter of the appeal… Continue reading Tax advisor: The bank certificate is sufficient to prove the loss due to the transfer of financial investments between related companies
Tax advisor: Without business concealment, there is no simulation
According to the principles of the General Theory of Law, when a contract is entered into for a different purpose than the one normally attributed to it, a defect in the cause may arise. This situation can be divided into two types of contracts: those with a false cause, in which the parties do not… Continue reading Tax advisor: Without business concealment, there is no simulation
Tax advisor: The Supreme Court partially upholds the challenge on the derivations of joint and several liability of article 42.2 of the General Tax Act.
The Supreme Court ruled in appeal 3742/2021 on this matter. The objective was to establish whether, in cases in which a declaration of liability under article 42.2.a) of the General Tax Act is partially annulled by a court judgment, decreasing its scope, the tax administration has the obligation to issue a new declaratory act of… Continue reading Tax advisor: The Supreme Court partially upholds the challenge on the derivations of joint and several liability of article 42.2 of the General Tax Act.
Tax advisor: The correct benefit indicator to be computed in the Corporate Tax is the cost of personnel, being this the element that contributes the most added value to the final product
The Superior Court of Justice of Valencia has evaluated whether the valuation of the operations carried out by the Administration is correct, specifically in relation to the profit indicator used, which has been the cost of personnel. The appellant argues that the method of valuation of the net operating profit should be based on total… Continue reading Tax advisor: The correct benefit indicator to be computed in the Corporate Tax is the cost of personnel, being this the element that contributes the most added value to the final product
Tax advisor: Tax compensation for landlords who reduce the rent of their apartment by more than 5%.
The current text of the Housing Law sets a ceiling on rental prices and reduces from ten to five the number of properties needed to be considered a large owner. In addition, tax incentives for landlords are incorporated: in the case of rentals of regular housing in stressed areas, the reduction in Personal Income Tax… Continue reading Tax advisor: Tax compensation for landlords who reduce the rent of their apartment by more than 5%.
