Investment deductions
Investments that are made and remain in the Canary archipelago, made by natural persons who carry out economic activities in the Canary Islands, may benefit from the general deduction regime, but subject to specific percentages and limits, which will be applied regardless of those that apply for investments covered by the general regime. These limits are calculated and applied by the program.
| Investment modalities | Percentage of deduction | Joint limit | |
|---|---|---|---|
| For investments in research and development activities and technological innovation (art. 35 LIS ): | In research and development (art. 35.1 LIS) | 45/75.6/28 per 100 37 per 100 (additional) |
60 percent or 90 percent, in general for the Canary Islands 70 percent or 100 percent (for the islands of La Palma, La Gomera and El Hierro) |
| In technological innovation (art. 35.2 LIS) | 45 percent | ||
| For investments in film productions, audiovisual series and live performing arts and musical shows (art. 36 LIS ): | In Spanish productions of feature films and audiovisual series (art. 36.1 LIS) | 54/45 percent | |
| In foreign productions of feature films or audiovisual works -due to execution expenses carried out in Spanish territory- (art. 36.2 LIS) | 54/45 per 100 (excluded from the joint limit) | ||
| In live performances of performing and musical arts -For production and exhibition expenses- (art. 36.3 LIS) | 40 percent | ||
| For job creation for workers with disabilities (art. 38 LIS ) | 11,700/15,600 euros person/year | ||
| For business contributions to corporate social security systems imputed in favor of workers (art. 38 ter LIS ) | 10 percent |
25 percent or 50 percent |
|
| For investments in West African territories [art. 27 bis.1.a) Law 19/1994] | 15/10 percent | 25 percent or 50 percent | |
| For propaganda and advertising expenses [art. 27 bis.1.b) Law 19/1994] | |||
| For investments in the acquisition of fixed assets | 25 percent |
70 percent 80 percent (for the islands of La Palma, La Gomera and El Hierro) |
|
Notes:
(1) For the islands of La Palma, La Gomera and El Hierro, the joint limits (60% or 90%) are raised, respectively, to 70% and 100%, when the Community aid regulations State allows it and these are investments contemplated in Law 2/2016, of September 27 and other laws of measures for the organization of the economic activity of these islands.
(2) For the islands of La Palma, La Gomera and El Hierro, the single limit of 70 percent is raised to 80 percent when the Community regulations on State aid allow it and the investments are contemplated in Law 2/ 2016, of September 27 and other laws of measures for the organization of the economic activity of these islands.