Anticipated investments
Regulation: Article 27.11 Law 19/1994
As established in the first paragraph of article 27.11 of Law 19/1994, taxpayers may carry out advance investments, which will be considered as materialization of the RIC that is funded from profits obtained in the tax period in which the investment is made or in the three subsequent periods, provided that the remaining requirements required therein are met.
These provisions must be made from profits until December 31, 2021.
New:
With effect from December 30, 2020 , the second Final Provision of Royal Decree-Law 39/2020, of December 29, on financial measures for social and economic support and compliance with the execution of sentences, modifies Law 19/1994, of July 6, modifying the Economic and Fiscal Regime of the Canary Islands, introducing a new eighth transitional provision in said Law, which establishes that the term referred to in the first paragraph of article 27.11 of Law 19/1994 , will be four years for anticipated investments materialized in 2017 .
In the tax period in which the anticipated investments are made, the materialization and its financing system must be communicated together with the Corporate Tax declaration (see section « Documentation that must be submitted before the declaration » of Chapter 1 of this Practical Manual).
Early investments made in a tax period beginning before January 1, 2015 will be considered materialization of the reserve for investments of profits obtained in another subsequent tax period also beginning before said date, and They will be regulated by the provisions of article 27 of Law 19/1994, of July 6, according to the wording in force as of December 31, 2014.