Tag: National Court

The National Court: Differences between Market Value and Implications on Cadastre Value in the January 11, 2024 Sentence

The National Court, in its ruling of January 11, 2024, addresses a case where the appellant argues that the market value of a property is the one established at the time of sale to third parties, without the need to revert the proceedings to the Cadastre for a new valuation. This assertion is based on… Continue reading The National Court: Differences between Market Value and Implications on Cadastre Value in the January 11, 2024 Sentence

Tax advisor:The National Court orders the refund of withholding taxes to foreign investment funds in Spain

The National Court has been resolving appeals filed by non-resident investment funds challenging the withholdings applied by the Tax Agency to dividends from Spanish companies. These withholdings, imposed at a rate of 15%, were deemed unfair compared to the 1% applied to similar institutions resident in Spain. As a result of the Supreme Court’s judgments… Continue reading Tax advisor:The National Court orders the refund of withholding taxes to foreign investment funds in Spain

Tax advisor: Fiscal Treatment of the Sale of shares in photovoltaic solar park development companies and its temporal allocation in the corporate income tax

Subsidiaries engaged in promoting photovoltaic solar parks are not considered holding companies, as they are involved in an economic activity. If these entities manage production resources or human capital to participate in the production or distribution of goods or services in the market, they may qualify for a tax exemption under Article 21 of the… Continue reading Tax advisor: Fiscal Treatment of the Sale of shares in photovoltaic solar park development companies and its temporal allocation in the corporate income tax

Tax advisor: The imposition of abusive agreements from a criminal perspective

Abuse of the majority in the adoption of agreements is punishable both from a civil or commercial perspective, when these exceed the normal limits of the exercise of the rights, causing damage to third parties (art. 7.2 of the Civil Code) and from a criminal perspective (art. 291 of the Criminal Code). Throughout this article… Continue reading Tax advisor: The imposition of abusive agreements from a criminal perspective

Tax advisor: Foreign Securities Holding Entities (ETVE): Considerations about the application of the ETVE regime

ETVEs are efficient corporate vehicles for investments abroad. These entities benefit from a special tax regime that significantly reduces the tax burden on foreign profits, which makes these vehicles highly attractive to international investors. However, the application of the special tax regime requires the fulfilment of several requirements. In the following, we will discuss the… Continue reading Tax advisor: Foreign Securities Holding Entities (ETVE): Considerations about the application of the ETVE regime

Tax advisor: EU Directive proposals and their impact on multinational companies’ taxation

The European Union has presented two directive proposals that could have a significant impact on the taxation of multinational corporations in Europe. Both proposals fall under the umbrella of BEFIT but differ in their objectives and scope.One of them pertains to the regulation of transfer pricing and aims to incorporate the principle of fair competition… Continue reading Tax advisor: EU Directive proposals and their impact on multinational companies’ taxation

Tax advisor:Analysis of the justification for applying the median in transfer pricing adjustment

In the opinion of the National High Court, the justification provided by the tax authority regarding the excessive breadth of the profit margins is not considered detailed enough to support the application of the median as explained. Therefore, this objection is accepted, and it is determined that the application of the lower point within the… Continue reading Tax advisor:Analysis of the justification for applying the median in transfer pricing adjustment

Tax advisor: The National High Court rejects the suspension of the Temporary lien of credit entities and financial credit establishments

The Contentious-Administrative Chamber of the National High Court has rejected the request to temporarily suspend the Temporary lien of credit entities and financial credit establishments (also called “extraordinary tax on banks”) filed by Sabadell, Bankinter and Kutxabank (through its subsidiary Cajasur). Furthermore, in their decisions, they have also ruled out the possibility of consulting the… Continue reading Tax advisor: The National High Court rejects the suspension of the Temporary lien of credit entities and financial credit establishments