4.3 Type of tax and total rate
The tax rate is the percentage that, when multiplied by BI allows you to obtain the full amount. The result can be positive (when BI is positive) or zero ( BI zero or negative).
The applicable tax rates are as follows, for tax periods beginning on or after January 1, 2023:
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General tax type: 25%
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Small entities: 25%
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Microenterprises: 23%
- Startups: 15% in the first tax period in which, having the status of emerging company, the BI is positive and in the following three.
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Credit cooperatives, rural banks, general insurance mutuals, social welfare entities, mutual guarantee societies, SGR reinsurance societies, partially exempt entities, political parties, communities holding communally owned forests: 25%
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Special types of tax, include:
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Credit institutions and entities dedicated to the exploitation, research and exploitation of hydrocarbon deposits and underground storage facilities (Law 34/1998): 30%
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Fiscally protected cooperatives: 20% (extra-cooperative results are taxed at 25%)
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Non-profit entities that apply the tax regime provided for in Law 49/2002: 10%
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Newly created entities: 15%
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Entities covered by the Economic and Fiscal regime of the Canary Islands (ZEC – Canary Islands Special Zone): 4%
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Investment Companies and Funds, Bank Asset Funds, SICAV and Mortgage Market Regulation Funds: 1%
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SOCIMI and Pension Funds ( RD leg. 1/2002): 0%
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With effect for tax periods beginning on or after 1 January 2022 in Corporate Tax there is a minimum tax rate . Thus, taxpayers whose net turnover is at least 20 million euros during the 12 months prior to the date on which the tax period begins or who are taxed under the special consolidation regime, regardless of their net turnover, the net tax rate may not be less than the result of applying 15% to the tax base, reduced or increased, where appropriate and as appropriate, by the levelling reserve, and reduced by the investment reserve (regulated in article 27 of Law 19/1994, of July 6, amending the Economic and Tax Regime of the Canary Islands). This quota will have the character of a minimum net quota.
The minimum net rate will not apply to investment companies and funds, bank asset funds, SICAV and mortgage market regulation funds, SOCIMI and pension funds, non-profit entities that apply the tax regime provided for in Law 49/2002 or to other entities that, in accordance with LIS pay taxes at 1%.
For taxpayers who pay a rate of 15% as newly created entities, the minimum net tax rate will be 10% of the taxable base.
For credit institutions, as well as entities engaged in the exploration, research and exploitation of hydrocarbon deposits and underground storage facilities under the terms established in Law 34/1998, of October 7, on the hydrocarbon sector, the minimum net rate will be 18% of the taxable base.
In cooperative entities, the minimum net share may not be less than the result of applying 60% to the full share calculated in accordance with the provisions of Law 20/1990, of December 19, on the Tax Regime of Cooperatives.
In the entities of the Canary Islands Special Zone, the positive tax base on which the percentage is applied will not include the part of the same corresponding to the operations carried out materially and effectively in the geographical area of said Zone that are taxed at the special tax rate regulated in article 43 of Law 19/1994, of July 6, amending the Economic and Fiscal Regime of the Canary Islands.
Rules are established to determine the minimum net tax rate for corporate tax.