7.5.2.2. Full income

All income will be recorded in this section, including self-consumption, subsidies and other transfers.

OPERATING INCOME

Operating income constitutes the amount of consideration obtained from the sale of goods and the provision of services that constitute the object of the activity, including those from services ancillary to the main activity.

OTHER INCOME (including grants and other transfers)

The following concepts will be included in this heading, among others:

1. Work done for the company itself

   Without prejudice to its calculation as an expense according to its nature, at the end of the year the production cost of the fixed assets manufactured or constructed by the company itself will be considered as counterpart income.

2. Surpluses and applications of provisions

   Excesses and applications of provisions that have constituted tax deductible expenses will be recorded as income.

3. Other management revenue

   Such as, for example, compensation for mediation services performed accidentally, or for the eventual provision of certain services (transport, repairs, advice, reports...), or income for services to personnel.

4. Compensation received from insurance entities

   Compensation received from insurance entities for incidents that have affected farm products (stocks of merchandise, raw materials, containers, packaging, etc.).

5. Subsidies and public aid

   Subsidies and other public aid received in the exercise of the activity will be indicated, not including those that are exempt and in accordance with the following imputation criteria:

   • Capital subsidies:

     They are those granted to favor the establishment of the activity or the making of investments in fixed assets.

     They are allocated as income in proportion to the depreciation experienced in the year (amortization) for the assets financed with said subsidies.

     In the case of non-depreciable assets, the subsidy will be allocated to the result of the year in which the disposal or derecognition of the assets occurs, with application in box 0132 of the reduction of 30 percent because they are considered by regulation as returns obtained in a notoriously irregular manner over time.

   • Exploitation subsidies:

     They are those granted, in general, to ensure a minimum profitability or compensate for losses caused in the activity.

     They are fully charged as income in the period in which they are earned.

SELF-CONSUMPTION OF GOODS AND SERVICES (art. 28.4 Law)

The normal market value of the goods and services that are the subject of the activity that the taxpayer assigns or lends to third parties free of charge or are intended for own use or consumption will be included as income.

Likewise, when there is consideration and it is significantly lower than the normal market value of the goods and services, the latter will be taken into account.

TRANSFER OF ASSETS THAT HAVE ENJOYED FREEDOM OF AMORTIZATION: EXCESS DEDUCTED AMORTIZATION REGARDING DEDUCTIBLE AMORTIZATION. (Additional Provision thirtieth Personal Income Tax Law)

If assets have been transferred that would have enjoyed the freedom of amortization provided for in the eleventh Additional Provision or in the thirty-seventh transitional provision, both of the consolidated text of the Corporate Tax Law, for the calculation of the capital gain or loss to that, if applicable, the transfer may give rise, the transfer value will not be reduced by the amount of the tax-deducted amortizations that exceed those that would have been tax deductible if it had not been applied.

The aforementioned excess will be considered the full performance of the economic activity, and must be entered in box 093 of Section E1 in the tax period in which the transfer is made.

VAT treatment

Income should not include the amount of VAT charged, unless the activity carried out is in the Special Regime of the Equivalence Surcharge or in that of Agriculture, Livestock and Fishing.