3.1. General regulation and limits
Regulations: Art. 27 Law 49/2002, of December 23, on the tax regime of non-profit entities and tax incentives for patronage ( BOE of 24)
Delimitation of an event of exceptional interest
Article 27.1 of Law 49/2002 defines support programs for events of exceptional public interest as " the set of specific applicable tax incentives to the actions carried out to ensure the proper development of the events that, where appropriate, are determined by Law."
Percentage and deduction base
For its part, article 27.3 of Law 49/2002 establishes as a tax benefit for Personal Income Tax taxpayers who carry out economic activities under the direct estimation regime the possibility of deducting of the full amount of the tax 15 percent of the expenses that , in compliance with the plans and programs of activities established by the consortium or by the corresponding administrative body, carry out multi-year propaganda and publicity that directly serve the promotion of the respective event.
For these purposes, it is considered that multi-annual propaganda and advertising expenses meet the stated requirements when they meet the conditions referred to in section 1 of article 8 of Royal Decree 1270/2003, of October 10, by which approves the Regulation for the application of the tax regime for non-profit entities and tax incentives for patronage.
Note: For these purposes, take into account:
The Resolution of January 25, 2018, of the General Directorate of Taxes, which approves the Manual for the application of tax benefits corresponding to multi-year propaganda and advertising expenses, which serve to promote exceptional events public interest ( BOE of February 2) contains the applicable rules and,
- The Resolution of June 9, 2022, of the General Directorate of Taxes, which interprets criteria of the Manual for the application of the tax benefits provided for in the first section of article 27.3 of Law 49/2002, of December 23, tax regime for non-profit entities and tax incentives for patronage, corresponding to multi-year propaganda and advertising expenses, which serve to promote events of exceptional public interest, approved by the Resolution of January 25 of 2018 ( BOE of June 11).
When the content of the advertising medium refers essentially to the dissemination of the event, the basis of the deduction will be the total amount of the expense made . Otherwise , the deduction base will be 25 percent of said expense .
Joint limit on deductions to encourage the performance of certain activities
This deduction will be computed jointly with the deductions regulated in articles 35, 36 and 38 of the LIS , for the purposes of the limits established by the article 39.1 of the LIS .
These limits for the set of deductions provided for in article 39.1 of the LIS are applied in the Personal Income Tax on the fee that results from reducing the sum of the full state and regional contributions (boxes  and  of the declaration), in the total amount of deductions for investment in habitual residence (in the case of taxpayers to whom the transitional regime of this deduction is applicable), for investment in new companies or recent creation, provided for in article 68.1 of the Personal Income Tax Law , and for actions for the protection and dissemination of Spanish Historical Heritage and World Heritage (∑ boxes  and ; ;  and [0551 ]).
In relation to these limits, article 39.1 of the LIS establishes that the amount of deductions (excluding the deduction for expenses executing a foreign production of feature films or audiovisual works to which referred to in article 36.2 of the LIS which is not subject to these limits), applied in the tax period, may not jointly exceed 25 percent of the quota before defined .
However, said limit is raised to 50 percent when the amount of the deductions provided for in articles 35 and 36 of the LIS (the latter since January 1, 2021), which corresponds to expenses and investments made in the tax period itself, exceeds 10 percent of the total tax amount , less in deductions for protection and dissemination of Spanish Historical Heritage and World Heritage and by investments in habitual residence and in new or recently created companies.
When there are pending balances of deductions from previous years, the appropriate limit (25 percent or 50 percent) will be applied jointly to the deductions for fiscal year 2022 and the pending balances from previous years.
Regarding the limits of the deduction, in addition to the general one referred to in the previous section, the amount of this deduction is subject to another additional one, which is that cannot exceed 90 percent of the donations made to the consortium, publicly owned entities or entities referred to in article 2 of Law 49/2002, of December 23, in charge of carrying out programs and activities related to the event throughout of the entire duration of the program.
If the deduction examined in this section is applied for expenses linked to events of exceptional public interest, the donations referred to in the previous paragraph will not be eligible for any of the tax incentives provided for in the aforementioned Law 49/2002.