Summary table of the types of deduction for investments in the Canary Islands
| Deduction modalities | Percentages of deduction | Joint limit | |
|---|---|---|---|
| Research and development expenses (art. 35.1 LIS ) | 45/75.6/28 per 100 37 per 100 (additional) |
60/90 by 100 70/100 by 100 (La Palma, La Gomera and El Hierro as of 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 performing and musical arts shows (art. 36.3 LIS) (2) | 40 percent | ||
| Job creation for workers with disabilities (art. 38 LIS) | 11,700/15,600 euros (as of 7/11/2018) |
||
| Foreign film productions (art. 36.2 LIS) (3) |
54/45 per 100 |
Excluded from the joint limit | |
| Investments in West African territories and propaganda and advertising expenses (art. 27 bis Law 19/1994) | 15/10 percent | 25/50 per 100 | |
| Investments in fixed assets (4) | 25 percent |
50/70 per 100 |
|
Notes to the table:
(1) With effect for tax periods beginning on or after January 1, 2021 , the amount of this deduction may not exceed 18 million euros , in the case of productions made in the Canary Islands. (Back)
(2) With effect for tax periods beginning on or after January 1, 2021, the amount of this deduction may not exceed 900,000 euros , when it comes to expenses incurred in the Canary Islands. (Back)
(3) With effect for tax periods beginning on or after January 1, 2021, the amount of this deduction may not exceed 18 million euros, when it comes to expenses incurred in the Canary Islands. Likewise, the minimum amount of expense established by letter a) of article 36.2 of the LIS, that the expenses made in the Canary Islands of 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)
(4) An increased individual limit of 50 percent (60 percent for the islands of La Palma, La Gomera and El Hierro) is applied with respect to the deduction generated both in the tax itself and those generated in previous tax periods, and 70 percent cent (80 percent for the islands of La Palma, La Gomera and El Hierro) with respect to the outstanding balances of this deduction from previous tax periods (excluding the amount of the deduction for the period being declared). (Back)