News published in INFORMA 2024

News published in INFORMA in September

Benefits from establishments located in the Balearic Islands will be considered as those derived from economic activities including those from the transfer of assets related to them.

Undistributed profits will be considered those intended to feed the reserves . For the determination of the profit and for the application of the percentage limit of the that may be allocated to the reserve for investments in the Balearic Islands, the accounting result will be considered.

The items that will not be considered undistributed profit are detailed.

The allocation to the reserve for investments in the Balearic Islands will not be considered an increase in equity for the purposes of the capitalisation reserve and the equalisation reserve regulated in the LIS.

The investments are detailed in which the investment reserve must be materialized within a maximum period of three years.

For the purposes of the investment reserve, tangible or intangible fixed assets shall be understood as those elements referred to in the corresponding registration and valuation rules issued in development of the General Accounting Plan approved by Royal Decree 1514/2007, of November 16.

The requirements that must be met by the assets in which the investment reserve is materialized are detailed, except in the case of those that contribute to the improvement and protection of the environment in the Balearic territory.

The specific requirements that investments in land must meet are specified.

Commercial areas subject to a rehabilitation process shall be understood as those urban shopping centres and those municipal commercial promotion areas of the Balearic Islands affected by internal reform and urban regeneration actions.

tourist activities shall be understood as those defined in article 3.b) of Law 8/2012, of July 19, on Tourism in the Balearic Islands and tourist establishments shall be those defined in article 3.h) of Law 8/2012. ##10008195####10008195##

For the purposes of the reserve for investments in the Balearic Islands, land used in any of the economic of the will be considered to be used for industrial activities when these are included in divisions 1 to of the first section of the rates of the Tax on Economic Activities, approved by Royal Legislative Decree 1175/1990, of September .

The following will be considered investments in heritage elements that contribute to the improvement and protection of the environment in the territory of the Balearic Islands: installations that prevent atmospheric or acoustic pollution and installations and equipment intended for the use of renewable energy sources for self-consumption.

The reserve for investments in the Balearic Islands may not be materialized in trademarks or non-patented knowledge.

Expenses derived from research, development and technological innovation activities referred to in article 35 of Law 27/2014 of 27 November on Corporate Income Tax will be considered research and development expenses .

It is detailed that requirements must be met by the materialization of the reserve for investments in the Balearic Islands in transport elements .

The materialization of the reserve for investments in aircraft should contribute to improving the connections of the Balearic Islands .

The administrative authorisation for the circulation of tourist vehicles intended for vehicle rental with or without driver must include an address corresponding to a municipality in the Balearic Islands.

It will be required that the vessels be with a Spanish flag and with a home port in the Balearic Islands.

For the purposes of the investment reserve, the real estate assets intended for leasing must be allocated to one of the indicated activities .