Summary table of the types of deduction for investments in the Canary Islands
| Deduction modalities | Percentages of deduction | Limits | |
|---|---|---|---|
| Research and development expenses (art. 35.1 LIS ) | 45/75, 6/28 per 100 37 per 100 (additional) |
60/90% 70/100 (La Palma, La Gomera and El Hierro from 7/11/2018) |
|
| Technological innovation expenses (art. 35.2 LIS) | 45 percent | ||
| Spanish film productions (art. 36.1 LIS) (1) | 54/45 percent | ||
| Production and exhibition of live shows of performing and musical arts (art. 36.3 LIS) (2) | 40 percent | ||
| Job creation for workers with disabilities (art. 38 LIS) | 9,000/12,000 euros (person/year increase) 11,700/15,600 euros (as of 7/11/2018) |
||
| Investments in fixed assets | 25 percent |
50/70% |
|
| Foreign film productions (art. 36.2 LIS) (3) |
54/45 percent |
18 million euros | |
| Investments in West African territories and advertising and publicity expenses (art. 27 bis Law 19/1994) | 15/10 percent | 25/50 per 100 | |
Notes to the table:
(1) The Fourteenth Additional Provision of Law 19/1994 establishes, with effect for tax periods beginning from January 1, 2021 , a specific limit for this deduction, indicating that its amount may not exceed 18 million euros , when it comes to productions made in the Canary Islands. (Back)
(2) The Fourteenth Additional Provision of Law 19/1994 , with effect for tax periods beginning on or after January 1, 2021, establishes a specific limit for this deduction, indicating that its amount may not exceed 900,000 euros , when it concerns expenses incurred in the Canary Islands. (Back)
(3) The Fourteenth Additional Provision of Law 19/1994 , with effect for tax periods beginning on or after January 1, 2021, establishes a specific limit for this deduction, indicating that its amount may not exceed 18 million euros, when it concerns expenses incurred in the Canary Islands. Likewise, this provision establishes with respect to the minimum expenditure amount set by letter a) of article 36.2 of the LIS, that the expenses incurred in the Canary Islands for animation of a foreign production must be greater than 200,000 euros . In relation to the execution of visual effects services , the provisions of letter b) of article 36.2 of the LIS will apply. (Back)