Non-application of the special system

Regulation: Article 89.2 LIS

The special regime will not apply when:

• The operation carried out has as its main objective fraud or tax evasion.

• The operation is not carried out for valid economic reasons , such as the restructuring or rationalization of the activities of the entities participating in the operation, but rather for the sole purpose of obtaining a tax advantage.

In the event that the tax authorities' audits determine the total or partial non-application of the special tax regime by applying the provisions of the previous paragraph, they will eliminate exclusively the effects of the tax advantage.