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Practical Income Manual 2021.

C. Deduction for production of certain live shows (art. 36.3 LIS)

Deduction beneficiaries

Since January 1, 2021, this deduction is allowed to be applied, in addition to taxpayers who carry out the production and exhibition of certain live performing arts and musical shows ( producers ), to the taxpayers, businessmen or professionals who participate in the financing of these productions carried out by another taxpayer ( investors ), in the terms set forth in the section corresponding to the deduction for investments in Spanish film productions and audiovisual series of art. 36.1 LIS.

Important : so that the investor can be a beneficiary of this deduction, it is necessary that he or she sign a financing contract with the producer and that both inform the Tax Administration prior to the end of the tax period in which the deduction is generated of this circumstance, providing both the financing contract signed such as certifications of compliance with the requirements set out in article 36.1 for the application of the deduction.

To carry out this communication regulated in art. 39.7 LIS, the management “ Presentation of communication regulated in article 39.7 LIS ” has been created in the electronic headquarters of the State Tax Administration Agency.

Percentage of deduction

Expenses incurred in the production and exhibition of live performing and musical arts shows will have a deduction of 20 per 100 .

Basis of deduction

The base of the deduction will consist in the direct costs of an artistic, technical and promotional nature, incurred in such activities.

This base of this deduction will be reduced by the amount of subsidies received to finance the expenses that generate the right to it.

Maximum deduction amount

The deduction generated in each tax period cannot exceed the amount of 500,000 euros per taxpayer.

However, in the case of the investor , although he can apply the deduction on the contributions disbursed in each tax period under the same conditions as if the producer had applied it, the maximum amount of It may not exceed, in terms of quota, the result of multiplying by 1.20 the amount of the amounts disbursed by it for its financing. The excess may be applied by the producer.

Note: The accreditation of the deduction by the investor will be incompatible, totally or partially, with the deduction to which the producer would be entitled.

In short:

Percentage of deductionMaximum amountBasis of deduction
20% €500,000 for each production carried out
Without exceeding 80% of the expenses
Direct artistic, technical and promotional costs incurred.


The necessary requirements to apply the deduction are:

  1. The taxpayer must have a certificate to prove this, under the terms established by Ministerial Order, issued by the National Institute of Performing Arts and Music.

    See in this regard Order ECD/2836/2015, of December 18, which regulates the procedure for obtaining the certificate of the National Institute of Performing Arts and Music, provided for in Law 27/2014, of 27 of November, of the Corporate Tax.

  2. That, of the profits obtained in the development of these activities in the year in which the right to deduction is generated, the taxpayer allocates at least 50 per 100 to the performance of activities that give the right to apply the deduction provided for in this section.

    The term for compliance with this obligation will be between the beginning of the year in which the aforementioned benefits were obtained and the 4 years following at the end of said year.


The amount of the deduction, together with the subsidies received by the taxpayer, may not exceed 80 per 100 of said expenses.

Tax period in which the deduction is applied

We must distinguish, depending on the beneficiary of the deduction, two moments:

  1. Producer

    The producer will not be able to apply until he obtains the required certificate from the National Institute of Performing Arts and Music. Once obtained, the deduction will be applied for the expenses incurred in each tax period in the production and exhibition of live performing arts and musical shows.

  2. Investor

    Unlike the producer, the taxpayer who participates in the financing of production will apply the deduction annually based on the contributions disbursed in each tax period.