7.5.2.3. Tax deductible expenses

In general, expenses provided for in accounting regulations are considered deductible, provided they are not expressly excluded by a tax regulation.

For an expense to be tax deductible, it must also have been accrued, accounted for and adequate justification must be available (usually a complete invoice).

The following list of expenses may be used as a guide:

VAT TREATMENT

As a general rule, expenses should not include the amount of VAT incurred on the acquisition of goods or services, except in the following cases:

• If the activity carried out is under the special regime of the equivalence surcharge or under the agriculture, livestock and fishing regime.

• In the acquisition of goods that are in turn transferred under the special regime for used goods, works of art, antiques and collector's items.

• When purchasing goods or services, the incurred fees are not deductible from those accrued in accordance with the Value Added Tax regulations.

1. Operating consumption
2. Wages and salaries
3. Social Security paid by the company (including the contributions of the holder)
4. Other staff expenses
5. Rents and charges
6. Repairs and upkeep
7. Independent professional services
8. Other external services
9. Tax deductible taxes
10. Financial expenses
11. Repayments
12. Provisions
13. Depreciation and provisions in simplified direct estimation
14. Patronage incentives: collaboration agreements in activities of general interest
15. Patronage incentives: expenses on activities of general interest
16. Other tax-deductible concepts. Losses due to impairment of the value of assets. Deductible amounts.
17. Other tax-deductible concepts.
18. Non deductible expenses
19. Health insurance
20. Losses due to debtor insolvency