Regularisation of taxation ratios

Section Nine of Article 29 of Law 12/2002, of May 23, approving the Economic Agreement with the Basque Country, establishes that in cases where taxpayers have been subject to the exacting jurisdiction of a tax administration, regional or common, in the settlement periods prior to the time when they begin the regular performance of deliveries of goods or services and to a different one in subsequent settlement periods, or when the proportion in which they pay taxes to the different administrations, regional or common, has substantially varied in the aforementioned settlement periods, they will proceed to regularize the returned quotas.

It will be understood that the proportion in which they pay taxes to the different Administrations, common or regional, has varied substantially when the proportion corresponding to any of the Administrations has varied by at least 40 percentage points.

This adjustment will be carried out in accordance with the tax percentages for each of the affected Administrations corresponding to the first full calendar year after the start of the regular delivery of goods or provision of services.

Taxpayers must submit a specific declaration to all tax authorities affected by the regularisation, within the same period as the last declaration-settlement of the first full calendar year after the start of the regular delivery of goods or provision of services corresponding to their activity.

The declaration to the AEAT will be made through form 318, which must be submitted, where applicable, within the deadline for submitting the last declaration of the first full calendar year after the start of the delivery of goods or provision of services.

The declaration models to be submitted to the Provincial Councils of the Basque Country will be those corresponding to the regional regulations.

This regularization will have no economic effects on taxpayers.

The Administrations must assume the repayment of the fees corresponding to the settlement periods prior to the moment in which they begin the regular delivery of goods or provision of services, which will result in the corresponding amounts having to be offset against each other.