Calculation of the taxable base

Re regulation: Article 44 Law 19/1994

To determine the part of the tax base of the ZEC entity that, for the purposes of applying the special tax rate, is derived from operations carried out materially and effectively in the geographical scope of the ZEC, the percentage resulting from multiplying by one hundred the result of a fraction in which they appear will be applied to the entity's tax base:

1. In the numerator , with positive sign:

   1. The transfers of tangible personal property carried out within the geographical scope of the ZEC.

      These transmissions will be considered carried out within the geographical scope of the ZEC :

      • When the being made available to the acquirer is carried out in said area or the expedition or transportation necessary for said making available is initiated from there.

      • In the event of the acquisition of goods for resale without the goods materially passing through Canary Islands territory, the commercial operations have been carried out within the geographical scope of the ZEC and determine the closure of a commercial cycle with economic results in said area. That is, when the following requirements meet:

        • When they have been organized, directed, contracted and invoiced from the geographical scope of the ZEC, and

        • At least ninety percent of the expenses incurred to carry out such operations, excluding the cost of acquiring the tangible assets delivered and those associated with their transportation and traffic, correspond to the use of the personal and material means of the entity located in the Canary Islands.

        Information obligation:

        With effect for periods beginning on or after January 1, 2023, ZEC entities that pay Corporate Income Tax and that carry out the operations of acquiring goods for resale defined in the previous point, must subscribe a quarterly informative declaration of operations with goods carried out outside the ZEC. For these purposes, Order HFP/1285/2023, of November 28, approves the new model 281 “Quarterly informative declaration of trade operations of tangible goods carried out in the ZEC without the goods transiting through Canary Islands" where the origin and destination of the goods, the type of goods, quantity and other required information will be stated, in accordance with the customs code of the Union and Other applicable regulations:

        • This declaration will be submitted electronically in relation to the trade operations carried out in each calendar quarter.

        • The filing deadline of the declaration will be between the first and the last day of the calendar month following the end of the quarter to which the declaration refers. This declaration must provide information on all operations carried out quarterly since January 1, 2023, so exceptionally the declarations corresponding to the first three quarters of 2023 had to be presented in the quarterly declaration deadline for the fourth quarter of 2023: January 2024. 

        In addition, these entities are required to keep a record book of trade operations in tangible assets carried out in the ZEC without the goods transiting through Canary Islands in the terms provided for in the aforementioned HFP/Order. 1285/2023.

      When the goods are subject to installation or assembly outside the geographical scope of the ZEC , the value of the preparation and manufacturing work carried out in said area and the value of the services provided will be included. that complete the delivery or installation, provided that they are carried out with the means assigned to the ZEC entity located in the geographical scope of the same, without prejudice to their movement for the installation as long as this does not exceed six months in the calculation annual.

   2. The transfers of real estate assets that form part of the fixed assets affected by the activity, including the real rights over them, when the assets are located in the geographical area of the ZEC.

   3. The provision of services that are carried out with the means of the entity that are located within the scope of the ZEC. For these purposes, operations with goods and services carried out through the use of information and telecommunications technologies will have this consideration, with the entity's means located within the scope of the ZEC.

   4. The transfer of rights to use or exploit computer applications, industrial property rights that are not mere distinctive signs of the taxpayer or its products, and intellectual property rights, as well as their transmission to unrelated entities, created by the entity in the geographical scope of the ZEC, in the proportion that they are located in the geographical scope of the ZEC.

   5. The operations carried out from the activity centers of the ZEC entity located in the geographical area of the ZEC intended for its branches located outside said geographical area, when they have been used by the branch for the delivery of goods or the provision of services to third parties.

2. In the numerator , with negative sign :

   • The operations received by the activity centers of the entity of the ZEC located in the geographical scope of the ZEC from its branches located outside said geographical area, provided that they have been used by the ZEC entity for the delivery of goods or the provision of services to third parties.

   • The transfers of assets acquired by the ZEC entity from entities that do not have the status of ZEC entity as a result of operations under the special regime regulated in Chapter VII of the Title VII of the LIS .

3. The denominator will include the amount of the total of the income and other positive components of the tax base of the ZEC entity.

4. The percentage resulting from the previous fraction is rounded to the nearest unit.

The special tax rate of 4 percent will apply exclusively to the part of the tax base that corresponds to the lower of the following amounts:

1. The amount resulting from applying the percentage determined in section 1 to the tax base

2. The amount resulting from the application of the following rules:

   • 1,800,000 euros, for those ZEC entities that meet the minimum job creation requirement provided for in article 31.2.e) of Law 19/1994.

   • An additional 500,000 euros for each job that exceeds the minimum indicated, up to 50 jobs.

   • The creation of jobs above 50, as well as that referred to in the two previous rules, will be subject, in any case, to the following limit: The reduction of the full amount in each tax period, after the application of the special rate applicable in the ZEC, in relation to the general rate of Corporate Tax may not be greater than 30 percent of the net amount of the company's turnover. ZEC entity.

     net job creation is understood as the number of net jobs created in the geographic scope of the ZEC since the registration of the ZEC entity, excluding, where applicable, incorporations from a previous template. The variations in net job creation will take effect in the tax year in which they occur.