Education and Promotion Fund expenses
Note:
Royal Decree-Law 8/2021, of May 4, extends until December 31, 2021, the extraordinary measure that temporarily makes the use of the Promotion and Education Fund more flexible. Cooperatives, allowing said Fund to be allocated to any activity that helps stop or alleviate the effects of the health crisis derived from COVID-19 , either through own shares or through donations to other entities, public or private, or to provide liquidity to the cooperative to guarantee the continuity of its operation. Furthermore, if the Promotion and Education Fund is allocated to the purposes provided for in the previous paragraph, the provisions of articles 13.3 and 19.4 of Law 20/1990 will not apply, that is, will not be lost The condition of a fiscally protected cooperative and the amounts applied to said Fund will not be considered income for the cooperative .
a) Cooperative results
In box [C4] the amounts of the cooperative results that the cooperatives allocate, with mandatory nature , to the Education and Promotion Fund will be included, and that are tax deductible in accordance with the provisions of articles 18.2 and 19 of Law 20/1990.
For tax purposes, the deductible amount of the endowment to the Education and Promotion Fund may not exceed in each financial year of 30 percent of its net surpluses. The excess will not be tax deductible .
Article 58.1 of Law 27/1999 establishes that, of the surpluses accounted for the determination of the cooperative result , once losses of any nature from previous years have been deducted and before the consideration of the Corporate Tax, at least 5 percent will be allocated to the Education and Promotion Fund.
Keep in mind:
The contributions to this fund charged to cooperative results that are not ## tax deductible must be included as accounting expense in box [C2]. Furthermore, for the part that is not tax deductible, a positive adjustment must be made to the accounting result (box [C6]), the amount of which must be included in box [C7 ].
b) Extra-cooperative results
In box [E4] the amounts of the extra-cooperative results that are will be collected. destined ##4##by the cooperatives to the Education and Promotion Fund. These amounts are not tax deductible.
Keep in mind:
The contributions to this fund charged to extra-cooperative results, are not tax deductible , so a positive adjustment must be made to the accounting result (box [ E6]) whose amount must be included in box [E7].