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Practical Handbook for Companies 2021


Regulation:Article 3 Law 49/2002

The entities regulated in article 2 of Law 49/2002, which meet the following requirements, will be considered non-profit entities:

  1. Pursue aims of general interest such as the defence of human rights, promotion of the social economy, scientific research, among others.

  2. To allocate at least 70% of the income and revenues referred to in Article 3.2 of Law 49/2002 to the achievement of these purposes, and the rest of the income and revenues to increase the endowment or reserves, within the period between the beginning of the financial year in which the respective income and revenues have been obtained and the four years following the end of that financial year.

  3. That the activity carried out does not consist in the development of economic exploitations alien to its statutory object or purpose.

  4. That the founders, associates, trustees, statutory representatives, members of governing bodies and the spouses or relatives up to and including the fourth degree of any of them are not the main recipients of the activities carried out by the entities, nor benefit from special conditions for using their services.

  5. That the positions of trustee, statutory representative and member of the governing body are free of charge, with the exceptions provided for in Law 49/2002.

  6. That, in the event of dissolution, its assets are allocated in their entirety to any of the entities considered as beneficiary entities of patronage for the purposes set out in articles 16 to 25 of Law 49/2002, or to public entities of a non-foundational nature that pursue aims of general interest, and this circumstance is expressly contemplated in the foundational business or in the articles of association of the dissolved entity.

  7. should be registered in the corresponding register.

  8. That comply with the accounting obligations laid down in the rules governing them or, failing that, in the Commercial Code and complementary provisions.

  9. That complies with the accountability obligations established by its specific legislation.In the absence of specific legal provision, they must submit their accounts within six months of the end of their financial year to the public body in charge of the corresponding register.

  10. That prepare an annual economic report in the terms indicated in Law 49/2002.