Last day 3 2010 December, the Government approved a set of measures to promote entrepreneurship, investment and employment.


  1. Corporate tax

With effect for tax periods commencing from January 1 2011 ofThe following changes are made to the revised text of the Corporation Tax Act.

1.1. Widening net turnover of 8 to 10 million for duty exemption documentation TRANSACTIONS. (Art. 16.2)

Accordingly, such documents shall not be required to entities whose net turnover in the year 2011 less than 10 million euros, provided that the total of transactions in that period with persons or entities not exceed 100.000 euros amount set value dial.

It is recalled that this limit coexists with another which exempts companies to document all related party transactions, where the total amount of transactions with the same person in a year does not exceed the threshold of EUR 250.000.

1.2. Widening net turnover for SMEs applying tax benefits (art. 108.1)

It extends from 8 to 10 million euros net turnover which permits the application of the tax incentives provided in Article 108.

1.3. Deadline Extended SMEs enjoy tax incentives for loss of this condition. (Art. 108.4)

In the event that the company achieve the aforementioned turnover of 10 million euros, you can continue to enjoy the tax incentives provided in this article, for the next and immediate three tax periods that they had reached this turnover, as long as I had had the consideration of entity small size both in that period and the two previous tax years to the latter.

This extension of tax incentives will also apply when such turnover is achieved as a result of a merger, ... under the special tax regime, provided that the entities that have carried out such an operation meet the conditions to be considered as small size both in the tax period in which the operation is conducted as in the two previous tax years.

1.4. It increases 120.202,41 to 300.000 euros taxable entities of small size which imposes the reduced rate of 25%. (Art. 114)

In the previous regulatory framework only this tax advantage enjoyed the first 120.202,41 euros of taxable income. Royal Decree-Law sets that amount in euros 300.000.

The remaining part of the tax base taxed at the rate of 30%.

1.5. It increases 120.202,41 to 300.000 euros taxable of Micro called gravel that the reduced rate of 20%. (Disp. Ad. 12ª)

So-called micro-enterprises are those companies with a net amount of turnover below to 5 million and less than 25 average workforce employees.

In the previous regulatory framework, where the requirement of maintaining the workforce is met, the first 120.202,41 euros of taxable income taxed at 20%. Royal Decree-Law sets that amount in euros 300.000.

The remaining part of the tax base taxed at the rate of 25%.

1.6. Modification of the standard including accelerated depreciation of assets in new fixed material. (Disp. Ad. 11ª)

the duration of the tax regime accelerated depreciation for new investments linked to economic activity is extended by three years until 2015, eliminating the constraint of maintaining employment.

Investments in new plant and equipment and investment property for economic activities must be made available to the taxpayer in the tax periods beginning in the years 2011, 2012, 2013, 2014 and 2015.

the wording of the rule is maintained in relation to other aspects included in the final version, especially:

- the term of execution of works and projects, given that when this exceeds the 2 years the law establishes certain limits and a specific application system, according to the degree of progress of the work in progress.

- the investments made through financial leasing contracts by taxpayers that determine their taxable base by the direct estimation system, provided that the purchase option is exercised.

  1. Impuesto sobre la Renta de las Personas Físicas (IRPF)

With effect for tax periods commencing from January 1 2011 ofA thirtieth additional provision is added to the 35 / 2006 Personal Income Tax Law:

Taxpayers for income tax may apply accelerated depreciation under the DA 11º TRLIS, with the limit of positive net return of economic activity to which prior to the deduction for assets are affected and, where appropriate to the reduction derived from what is stated in art. 30. 2 4ª law (expenditure difficult to justify simplified direct estimation: 5% Net Yield.).

  1. Transfer tax and stamp duty

With effect from 3 2010 December

exemption from taxation for company operations of ITP and AJD, for all operations aimed at the creation, capitalization and maintenance companies declared.

Thus, amending (Article 45.IB) .11 to exempt the incorporation of companies, capital increases, contributions from partners that do not involve capital increase (eg contributions to offset losses).


With effect from 3 2010 December

Elimination of mandatory Cameral Permanent Appeal

Royal Decree-law makes voluntary membership in chambers of commerce, industry and navigation and therefore contributing to the cameral fee.

Acts corporate advertising

administrative and advertising costs and handling charges societies are simplified by removing the obligation to publish through the press, certain corporate acts.

About the Author:

Carmen Lopez, DiG Advocats

Carmen Lopez

DiG Lawyers