News published in INFORMA 2021
Skip information indexNew features introduced in the INFORMA programme during OCTOBER
143885 - DEDUCTION FOR INVESTMENTS IN FILM PRODUCTIONS, AUDIOVISUAL SERIES, AND LIVE PERFORMING ARTS AND MUSIC SHOWS.FOREIGN PRODUCTION:COVID 19 COSTS INCURREDThe expenses arising from the implementation of various risk prevention measures, which entail a series of labour, infrastructure and material acquisition costs cannot form part of the basis for the deduction provided for in Article 36.2 of the LIS insofar as this provision requires the expenses to be directly related to production.
143893 - DEDUCTION FOR EXPENSES INCURRED IN THE PRODUCTION AND EXHIBITION OF LIVE PERFORMING ARTS AND MUSIC SHOWS IN THE CANARY ISLANDSWith effect for tax periods starting from 1 January 2021, amount of the deduction for expenses incurred in the production and exhibition of live performing-arts and music shows, as referred to in Article 36(3) of Act 27/2014, on Corporate Tax, may not exceed the result of increasing the maximum amount referred to in said article by 80 per cent in the case of expenses incurred in the Canary Islands.
143884 - NON-PROFIT ENTITIES AS FROM 1-1-2021With effect from 1 January 2021, Act 14/2021, of 11 October, amends Article 2 of Act 49/2002, of 23 December, regarding which entities will be considered non-profit.
142812 - DEDUCTION FOR EXPENSES INCURRED IN SPANISH TERRITORY IN THE PERFORMANCE OF A FOREIGN-PRODUCTION FEATURE FILMS OR AUDIOVISUAL WORKS IN THE CANARY ISLANDSFor tax periods beginning in 2020, producers registered with the Institute of Cinematography and Audiovisual Arts’ Administrative Register of Film Companies and who are responsible for the performance of a foreign-production feature films or audiovisual works, made in the Canary Islands, which allow the production of a physical medium prior to their serialised industrial production, will be entitled to a deduction of 54% for expenses incurred in the Canary Islands in respect of the first million base of the deduction and 45% on the excess of that amount. The amount of this deduction may not exceed 12.4 million euros for each production carried out in the Canary Islands.For tax periods starting on 2021, this amount rises to 18 million.
142811 - DEDUCTION FOR INVESTMENTS IN SPANISH FILM PRODUCTIONS FOR FEATURE FILMS AND SHORT FILMS AND AUDIOVISUAL SERIES OF FICTION, ANIMATION OR DOCUMENTARY IN THE CANARY ISLANDSFor tax periods starting in 2020, investments in Spanish productions of feature films and short films and audiovisual series of fiction, animation or documentaries, made in the Canary Islands, which allow the production of a physical support prior to their serialised industrial production, will entitle the producer to a deduction of 54% of the first million of the deduction base and 45% of the excess of this amount, . The amount of this deduction may not exceed 12.4 million euros for each production carried out in the Canary Islands.For tax periods starting in 2021, this amount rises to 18 million.
143886 - PROVISION FOR FUTURE SEVERANCE PAYA provision intended to cover the risk arising from a possible future severance pay should employees be dismissed is not tax deductible.
143164 - CAPITALISATION RESERVE REDUCTION.ALLOWANCE FOR SUBSEQUENT FINANCIAL YEARS:ORDER OF APPLICATIONThe reduction of the tax base corresponding to capitalisation reserve allowance, when there are amounts pending application from previous periods together with the amount generated in the period itself, taxpayers may apply them in the order they wish, as there is nothing established about one or the other having to be applied first.