Non deductible expenses

Non-deductible expenses include:

• Those that represent remuneration of own funds

• Fines and penal and administrative sanctions, urgency charges and surcharges for late filing of returns/assessment and self-assessments.

• The losses of the game

• Donations and liberalities

  Expenses for public relations with clients or suppliers are not considered donations and liberalities, nor those that, in accordance with customs and practices, are made with respect to the company's personnel, nor those made to promote, directly or indirectly, the sale of goods and services. provision of services, nor those that are correlated with income. However, these expenses are subject to the limit of 1% of the net amount of the turnover for the tax period.

• Expenses of activities contrary to the legal system.

• Expenses for services corresponding to operations carried out, directly or indirectly, with persons or entities resident in countries or territories that are considered non-cooperative jurisdictions or that are paid through persons or entities resident therein, unless it is proven that The expense responds to an operation or transaction actually carried out.

• The financial expenses accrued in the tax period, derived from debts with group entities according to the criteria established in article 42 of the Commercial Code, regardless of residence and the obligation to prepare consolidated annual accounts, intended for the acquisition, to other entities of the group, of participations in the capital or own funds of any type of entities, or to make contributions in the capital or own funds of other entities of the group, unless the taxpayer proves that there are valid economic reasons for making these operations

• Contributions to Social Security Mutual Funds from the businessman or professional himself, without prejudice to the fact that they may be subject to a reduction in the general part of the tax base.

• Expenses corresponding to operations carried out with related persons or entities that, as a result of a different tax classification in these, do not generate income or generate income that is exempt or subject to a nominal tax rate of less than 10%.

• Personnel expenses that correspond to compensation derived from the termination of the employment relationship, common or special, or the commercial relationship, of administrators or members of the Boards of Directors, of the Boards that act in their place and other members of other bodies representative, produced since January 1, 2013, when they exceed, for each recipient, the highest of the following amounts.

  1. 1,000,000 euros.

  2. The amount established as mandatory in the Workers' Statute for dismissal or termination.