Accounting revaluations

In second paragraph of article 17.1 of the LIS it is established as a general rule that variations in value arising from the application of the fair value criterion do not have tax effects, as they should not be allocated to the profit and loss account, except:

• the provisions of article 15.l) of the LIS , for tax periods beginning on or after January 1, 2017 (see this chapter the explanation of boxes [01808] and [01812] "Decrease in value caused by fair value criteria (art. 15 l) LIS"),

• or as long as they must not be allocated to a reserve account if this is established by a legal or regulatory rule , for tax periods beginning on or after January 1, 2018 (see in this chapter the explanation of boxes [02129] and [02130] «Adjustments for the first application of Circular 4/2017 of the Bank of Spain, to credit institutions ( DT 39 LIS»).

Filling in form 200

If the taxpayer carries out an accounting revaluation not covered by a legal or regulatory standard, he must make the following adjustments in boxes [00345] and [00346] “Accounting revaluations (art. 17.1 LIS)” from page 12 of model 200:

• In the tax period in which the revaluation of the element has been accounted for in the result of the year, the amount must be included in box [00346] of decreases.

• In the tax period that accounts for expenses linked to the revalued assets, the amount thereof must be included in the box [00345] of increases. In the event that what is recorded is income , said amount must be included in the box [00346] of decreases.