By investment in companies that develop agricultural activities
Regulations: Art. 5. Fifteen Text Recast of the legal provisions of the Autonomous Community of Galicia regarding taxes transferred by the State, approved by Legislative Decree 1/2011, of July 28.
Amounts and maximum limit of the deduction
20 per 100 of the amounts invested or, in the case of non-monetary contributions, of the value of the assets used in the year for the following investments:
Acquisition of share capital as a result of agreements to establish companies or increase capital, as well as any contribution to reserves in:
1. Forest development companies regulated by Law 7/2012, of June 28, on the mountains of Galicia, and other types of joint management companies.
2. Agricultural entities, agricultural cooperatives or community exploitation of land whose exclusive purpose is agricultural activities.
3. Entities whose objective is the mobilization or recovery of agricultural land in Galicia under the protection of the instruments provided for in Law 11/2021, of May 14, on the recovery of agricultural land in Galicia.
Note:the concept of “agrarian activity” will be that included in Law 19/1995, of July 4, on the modernization of agricultural holdings (article 3.Five Consolidated Text of the legal provisions of the Autonomous Community of Galicia regarding taxes transferred by the State, approved by Legislative Decree 1/2011, of July 28) .
Loans made in favor of the same entities mentioned in letter a) above, as well as guarantees that the taxpayer constitutes personally in favor of these entities.
Contributions that the capitalist partners make to joint accounts established for the development of agricultural activities and in which the managing participant is one of the entities mentioned in letter a) above.
The joint maximum limit of the deduction is 20,000 euros, regardless of the number of members of the family unit that satisfy the amounts that qualify for it.
Requirements and other conditions for the application of the deduction
The operations in which the deduction is applicable must be formalized in a public deed in which the identity of the taxpayers who intend to apply this deduction and the amount of the respective operation must be specified.
The investments made must be maintained in the taxpayer's assets for a minimum period of five years , computed from the day following the date on which the operation is formalized in a public deed.
In the case of financing operations, the maturity period must be greater than or equal to five years , without the possibility of amortizing an amount greater than 20 per 100 per year of the principal amount lent.
During that same period of five years the guarantees established must be maintained.
The taxpayer may be part of the board of directors of the company in which the investment was made, but in no case may he carry out executive or management functions for a period of ten years, nor may he maintain an employment relationship with the entity that is the object of the investment. investment during that same period, except in the case of labor companies or cooperative societies.
This deduction is incompatible with the deductions “For investment in the acquisition of shares or stakes in new or recently created entities”, “For investment in the acquisition of shares or stakes in new or recently created entities and their financing” and “By investment in shares of entities listed in the segment of expanding companies of the alternative stock market” included in numbers nine, ten and eleven of article 5 of Legislative Decree 1/2011.
The incompatibility refers to the same investment , that is, for each investment only one deduction can be applied (at the taxpayer's option), but nothing prevents that if several different investments are made apply the corresponding deduction to each of them.
Note: Taxpayers entitled to this deduction must complete the section "Additional information to the autonomous deduction of Galicia for investment in companies that carry out agricultural activities " of Annex B.8 of the declaration in which, in addition to the amount of investment with the right to deduction, the NIF of the entity in which the investment is made, the loan is granted or the guarantee is constituted and, if it exists, that of the second entity, indicating the total amount of the deduction in the corresponding box.