Canary Islands tax system

Royal Decree-Law 31/2021, of December 28, with effect from January 1, 2022, modifies the temporal scope regulated in article 27.11 of Law 19/1994, of July 6, modifying the Economic Regime and Fiscal of the Canary Islands, relating to early investments , establishing that the provisions must be made from profits obtained until December 31, 2023.

With the same effects, the temporal scope regulated in article 29.1 of Law 19/1994, of July 6, modifying the Economic and Fiscal Regime of the Canary Islands, relating to the validity is modified ##1##of the Canarian Special Zone (ZEC), establishing that said validity will be limited to December 31, 2027 , extendable with prior authorization from the European Comission.

It should be taken into account that, as established in the first Additional Provision of the aforementioned Royal Decree-Law 31/2021, these modifications are conditional on authorization by the European Commission of the Aid Map of Regional Purpose for the period 2022-2027.