Expenditure on donations and gifts
The article 15 e) of the LIS establishes the non-deductibility for tax purposes of certain donations and gifts.
This point (e) does not include expenses for services to customers or suppliers or those incurred in accordance with custom and practice in respect of company personnel or those incurred to promote, directly or indirectly, the sale of goods and provision of services, or those correlated with income.However, expenses paid for attentions to clients or suppliers are deductible up to the limit of 1 per cent of the net amount of the turnover during the tax period.
Nor shall this letter e) include remuneration to directors for the performance of senior management functions or other functions deriving from an employment contract with the entity.
Filling in form 200
For these purposes, in the tax period in which these expenses for donations and gifts that are not tax deductible are accounted for, a positive adjustment must be made to the accounting result in the box  "Expenses for donations and gifts (art. 15 e) LIS)" on page 12 of form 200.