2.6.1.1 Non-profit entity under the tax regime Title II Law 49/2002

This key will be entered by taxpayers to whom, in the tax period to which the declaration refers, the special tax regime for Corporate Tax provided for in Law 49/2002, of December 23, on the tax regime for non-profit entities and tax incentives for patronage, has been applied.

Non-profit organisations

The tax regime established by Law 49/2002 provides a set of subjective advantages applicable to non-profit entities that meet certain requirements.

The following are considered non-profit entities according to the provisions of Article 2 of Law 49/2002:

• the foundations.

• associations declared to be of public utility.

• Non-governmental development organizations referred to in Law 23/1998 of July 7 on International Development Cooperation, provided that they have one of the legal forms referred to in the preceding paragraphs.

• branches of foreign foundations registered in the Registry of Foundations.

• the Spanish sports federations, the territorial sports federations at the autonomous level integrated into those, the Spanish Olympic Committee and the Spanish Paralympic Committee.

• the federations and associations of non-profit entities referred to in the preceding paragraphs.

The requirements that non-profit entities must meet for the purposes of applying Law 49/2002 are the following:

1. Pursue goals of general interest such as the defense of human rights, the promotion of the social economy, scientific research, among others.

2. To allocate at least 70% of the income and revenues indicated in article 3.2 of Law 49/2002 to the achievement of said purposes and the rest of the income and revenues to increase the patrimonial endowment or the reserves, in the period between the beginning of the fiscal year in which the respective income and revenues were obtained and the four years following the end of said fiscal year.

3. That the activity carried out does not consist of the development of economic operations unrelated to its statutory purpose or objective.

4. That the founders, partners, patrons, statutory representatives, members of the governing bodies and the spouses or relatives up to the fourth degree inclusive of any of them are not the main recipients of the activities carried out by the entities, nor do they benefit from special conditions to use their services.

5. That the positions of trustee, statutory representative and member of the governing body be free of charge, with the exceptions provided for in the aforementioned Law 49/2002.

6. That, in the event of dissolution, its assets are allocated in their entirety to one of the entities considered as beneficiary entities of patronage for the purposes set forth in articles 16 to 25 of this Law 49/2002, or to public entities of a non-foundational nature that pursue purposes of general interest, and this circumstance is expressly contemplated in the founding business or in the statutes of the dissolved entity.

7. That they are registered in the corresponding registry.

8. That they comply with the accounting obligations provided for in the regulations by which they are governed or, failing that, in the Commercial Code and complementary provisions.

9. That they comply with the accountability obligations established by their specific legislation. In the absence of a specific legal provision, they must render accounts within six months from the end of their financial year to the public body in charge of the corresponding registry.

10. That they prepare an annual financial report in accordance with the terms set out in Law 49/2002.