Tax advisor: The presence of simulation through the artificial division of the economic activity of the appellant has not been demonstrated.

The High Court of Justice of Madrid, in its judgment of March 1, 2023, examines the possible artificial division of the appellant’s economic activity for indications of simulation. However, before addressing the merits of the dispute, the Chamber rules on the extension of the term that has occurred in the inspection process. Thus, the Chamber… Continue reading Tax advisor: The presence of simulation through the artificial division of the economic activity of the appellant has not been demonstrated.

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