d.2 When there is a final judgment from a Spanish court or any other equivalent decision of a court of another affected state that is binding upon the competent authority in accordance with its internal regulations, on the elements of the tax obligation that were subject to the mutual agreement procedure

Decisions of Spanish courts are binding on competent authorities as regards the mutual agreement procedure. That being the case, where a court has issued a decision affecting the elements of the tax obligation to which the mutual agreement procedure relates before an agreement is reached in the mutual agreement procedure, the Spanish competent authority will, without delay, notify the competent authorities of the other states concerned.

Such a decision is ground for the termination of any of the mutual agreement procedures provided for in the Regulation on Mutual Agreement Procedures (Articles 16 and 52 of the Regulation on Mutual Agreement Procedures ), which may terminate with an agreement to fully or partly eliminate the double taxation or taxation not in accordance with the convention or treaty, if the other competent authority decides to make, in full or in part, the corresponding adjustment resulting from the final decision, or without an agreement to eliminate the double taxation or taxation not in accordance with the convention.

The same happens where the competent authorities of any of the other states concerned find themselves bound by an equivalent decision of a court of that state, in accordance with its domestic law. It that case, it would also be possible to request the initiation of the mutual agreement procedure with the aim of the competent authority of the other state affected eliminating the double taxation, in full or in part, if it considered it appropriate.