7.2.3 Breakdown of deductions for internal double taxation (DT 23ª.1 LIS)
General considerations
Section 1 of the twenty-third transitional provision of the LIS establishes a transitional regime to determine the deduction to avoid internal double taxation on dividends obtained from participation in the capital or equity of entities resident in Spanish territory, acquired in tax periods before January 1, 2015.
For these purposes, the amounts of these deductions calculated in accordance with the provisions of said transitional provision will be recorded in this section of "Deductions for internal double taxation ( DT 23.1 LIS)" which is included on page 15 of form 200.
Analysis of the structure of this section
DI internal previous exercises
In the "Pending deduction" column, it must be taken into account that if it is a deduction generated in any of the tax periods prior to the one being settled and started in 2015, 2016, 2017, 2018 or 2019 (*), from the "Internal DI previous years" block, the balance of the corresponding deduction that was pending application at the beginning of the tax period being settled will be recorded in the respective key of this column. In any case, said balance must be the one corresponding to applying the tax rate for the tax period in which the deduction was generated.
Therefore, in the column " Tax rate/generation period " the tax rate for which the reporting entity and beneficiary of the deduction paid taxes in the period in which it was generated will be stated. This column does not exist for cases in which the tax period for generating the deduction corresponds to the tax period of the liquidation.
The row " Tax rate 2019 " is intended to record the tax rate that the reporting entity pays in the tax period being reported.
In the column " 2019 pending deduction " the amounts referring to pending deductions from previous years must be recorded.
In the column " Applied in this settlement " the part (or the whole, if applicable) of the amount corresponding to the previous column "2019 pending deduction" that is applied in the settlement corresponding to the period subject to settlement will be recorded.
In this column, it should be noted that the application of this deduction is limited to the amount of the full quota that appears in code [00562] on page 14 of form 200.
For these purposes, according to the provisions of section 2 of the Fifteenth Additional Provision of the LIS, in periods starting on or after January 1, 2016, for taxpayers whose net turnover is at least 20 million euros during the 12 months prior to the date on which the tax period begins, this amount may not exceed 50 percent of the taxpayer's total tax.
Internal DI 2019
In the column " Deduction generated " the amount of the deductions to avoid internal double taxation regulated in DT 23.1 of the LIS generated in 2019 will be recorded.
In the column " Applied in this settlement " the part (or the whole, if applicable) of the amount corresponding to the previous column "Deduction generated" that is applied in the settlement corresponding to the period subject to settlement will be recorded.
For these purposes, according to the provisions of section 2 of the Fifteenth Additional Provision of the LIS, in periods starting on or after January 1, 2016, for taxpayers whose net turnover is at least 20 million euros during the 12 months prior to the date on which the tax period begins, this amount may not exceed 50 percent of the taxpayer's total tax.