Paintings: Methods and modalities for determining the net income of economic activities: objective estimate

Businessmen and professionals in which the following occur:

• That your activity is among those listed in Order HFP /1335/2021, of December 1, and not excluded from its application

• That the volume of gross returns in the immediately preceding year does not exceed any of the following amounts:

  • 250,000 euros for all activities, except agricultural, livestock and forestry.
  • 125,000 euros when it corresponds to operations for which they are obliged to issue an invoice as the recipient is a businessperson or professional acting as such.
  • 250,000 euros for all agricultural, livestock and forestry activities.

• That the volume of purchases of goods and services in the previous year, excluding acquisitions of fixed assets, does not exceed the amount of 250,000 euros per year (VAT excluded).

• That the activity does not take place outside the scope of application of IRPF .

• That they have not renounced or are excluded from the simplified regime of VAT and the special simplified regime of the Canary Islands General Indirect Tax (IGIC). That they have not renounced the special regime for agriculture, livestock and fishing of the VAT , nor the special regime for agriculture and livestock of the IGIC.

• That no activity carried out by the taxpayer is subject to direct estimation, in any of its forms.

ACTIVITIES OTHER THAN AGRICULTURAL, LIVESTOCK AND FORESTRY

Number of modules units

(x) Annual return per unit

(=) Previous net performance 

(-) Reductions for employment and investment incentives

(=) Reduced net return

(x) Correction indices

(=) Net performance of modules

(-) General reduction 15%

(-) Special reduction Lorca (20%)

(-) Special reduction for the island of La Palma (20%)

(-) Extraordinary expenses

(+) Other business perceptions

(=) Net income from the activity

(-) Reduction (30%) with a maximum reduction base of 300,000 euros

• For returns with a generation period of more than two years when they are imputed in a single fiscal year 
• For income obtained in a notoriously irregular manner when it is imputed in a single fiscal year

Transitional regime : application of this reduction to income that was received in installments prior to 01-01-2015.

(-) Reduction for taxpayers with total income of less than 12,000 euros, including income from activity

(=) Reduced net performance 

AGRICULTURAL, LIVESTOCK AND FORESTRY ACTIVITIES

Total revenue volume

(x) Net return index

(=) Previous net performance

(-) Reduction for the purchase of agricultural diesel: 35%

(-) Reduction for acquisition of fertilizers: 15%

(-) Amortization of tangible and intangible fixed assets (excluding forestry activities)

(=) Reduced net return

(x) Correction indices

(=) Net performance of modules

(-) General reduction (25%)

(-) Reduction in young farmers

(-) Special reduction for the island of La Palma (20%)

(-) Extraordinary expenses

(=) Net income from the activity

(-) Reduction (30%) with a maximum reduction base of 300,000 euros.

• For returns with a generation period of more than two years when they are attributed to a single fiscal year
• For income obtained in a notoriously irregular manner when it is imputed in a single fiscal year

Transitory rules: application of this reduction to income that was received in installments prior to 01-01-2015.

(-) Reduction for taxpayers with total income of less than 12,000 euros, including income from activity

(=) Reduced net performance

Invoices issued, invoices received and documentary evidence.

If amortizations are carried out :

- Record Book of investment goods

For activities whose net income is determined based on the volume of operations (agricultural, livestock, forestry and processing of natural products):

– Sales and income record book