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Practical Manual for Companies 2022.

Deduction percentages

  • As a general rule , 25 percent of the expenses incurred in the tax period for this concept will be applied.

    If the expenses incurred in carrying out research and development activities in the tax period are greater than the average of those incurred in the two previous years, 25 percent will be applied up to said average, and 42 percent on the excess with respect to this.

    Additionally , a deduction of 17 percent may be made of the amount of the entity's personnel expenses corresponding to qualified researchers assigned exclusively to research and development activities.

  • deduction of 8 percent may also be applied to investments in tangible and intangible fixed assets, excluding buildings and land, provided that they are exclusively used for research and development activities.

    Likewise, it is required that the elements in which the investment is materialized must remain in the taxpayer's assets, except for justified losses, until they fulfill their specific purpose in research and development activities, except that their useful life according to the amortization method, admitted in letter a) of article 12.1 of the LIS , which is applied, is less.