Quantification of the tax debt

Regulation: Article 19 and Tenth Additional Provision TRLIRNR

For tax periods beginning within year 2022 , the tax rate applicable to the tax base will be 25 percent , except in hydrocarbon research and exploitation activities which will be 30 percent .

In the full quota of the tax, the bonuses and deductions provided for in the Corporate Tax regulations may be applied, giving rise to the net tax quota, which, in no case, may be negative. The various deductions and bonuses will be applied based on the circumstances that occur in the permanent establishment, without being transferable to other establishments of the same taxpayer in Spanish territory.

From the net quota the amount of the withholdings , the payments on account and the fractional payments may be deducted. When the withholdings, payments on account and fractional payments actually made exceed the net amount of the tax, the tax administration will proceed to automatically return the excess, in accordance with the provisions of article 127 of the LIS .

With effect for tax periods beginning on or after January 1, 2022, Additional Provision Ten of the TRLIRNR establishes that to determine the tax debt for the purposes of the provisions of article 19 of said Revised Text, the minimum taxation regulated in article 30 bis of the LIS will apply.

When permanent establishments of non-resident entities that are not natural persons transfer income abroad , in addition, a complementary tax of 19 percent will be payable on the amounts transferred from the income of the permanent establishment, including the payments referred to in article 18.1.a) of the TRLIRNR, which have not been deductible expenses for the purposes of determining the tax base of the permanent establishment. However, this tax will not be applicable to income obtained in Spanish territory through permanent establishments of entities with their tax residence in another State of the European Union, unless it is a country or territory considered a non-cooperative jurisdiction, nor to income obtained in Spanish territory through permanent establishments by entities that have their tax residence in a State that has signed with Spain an agreement to avoid double taxation, in which nothing else is expressly established, provided that there is, in the latter case, reciprocal treatment.