JOHN CARLOS I

KING OF SPAIN

To all who present it and understand it.

Sabed: That the General Courts have approved and I come to sanction the following law.

EXPLANATORY STATEMENT

Article 39 of the Spanish Constitution orders the public authorities to ensure adequate protection for the family, in the social, economic and legal fields. These are programmatic principles which are on the same lines as other declarations contained in various international instruments, including the Charter of Fundamental Rights of the European Union or the Social Charter. European, which consider the family as an essential element of society, having the right to a protection, in the legal, economic and social plans, to achieve its development.

In the framework of family protection, the system of social security provides for the provision of benefits for the child or child in charge, the amount of which is based on the age and circumstances of the children. Similarly, the tax legislation regulates certain benefits, which relate to family burdens, both in terms of the determination of the liquidable base, depending on the application of the "family minimum", and the establishment of a maternity allowance, in favour of persons, discharged from the social security system who are in charge of a child under 3 years of age.

However, the government has considered it necessary to supplement these benefits and increase the support granted in our country to the family, since this social function is an area that deserves priority protection. Our country is faced with forecasts of significant ageing of the population, which have led to the attempt to improve the conditions of families in which new births or adoptions occur, thus seeking to do so. in the long term to this population trend. That purpose has led to the requirement for persons receiving the new benefit to have an effective residence in the Spanish territory for at least the two years preceding birth or adoption.

The content of this standard is intended to contribute to the above objective by establishing a new delivery by birth or child adoption, which consists of a single payment whose purpose is to offset in part the higher costs that causes the new being, especially in the first stage of his life. This new provision has a dual nature. For persons engaged in a self-employed or employed activity by which they are discharged in the social security at the time of birth or adoption, or have received income or earnings in the previous tax period assets, subject to withholding or income to account, or income from economic activities for which the corresponding split payments had been made, the benefit acquires the character of tax benefit and undermines the differential fee Tax on the Income of the Physical Persons, being able to be perceived in advance. On the contrary, in a subsidiary way, for persons who are not entitled to the tax benefit indicated above because they do not find themselves in the described situation, the payment acquires the nature of the provision of social security, in its non- contributive.

The new benefit is compatible with the current maternity allowance in the Income Tax of the Physical Persons, although both benefits are different for purposes; while the latter seeks to promote the The first is to compensate for the costs incurred by the incorporation of a new child into the family unit. The new benefit is also compatible with the child benefits in charge or by birth or adoption of third or successive children, as well as the corresponding delivery or multiple adoption of Social Security.

Given the different nature of the benefits referred to in this Law, it is also different from the financial coverage of the benefits which, in respect of the tax deduction, falls on the State share of the tax on the Income of the Physical Persons, while, in its aspect of non-contributory benefit of Social Security, it will be financed by contributions from the State to the budget of the Social Security, according to the forecasts contained in the Article 86 of the General Law on Social Security.

With this measure comes to complement, in the field of family aid, the set of instruments that, throughout the legislature, have been approved to facilitate the reconciliation of personal, family and life In the case of a person who is a member of the family household, he or she may be employed in the household, among which the important lifting of the personal and family minima in the new Income Tax Law should be highlighted. Physical.

Finally, the coordination between the Government of Spain and the Autonomous Communities must facilitate an effective integration of the policies of support to the family of the different administrations, which, in addition to other objectives, to ensure that family members are placed in a position to take the threshold of poverty, through the joint action of services and economic benefits, that the birth or adoption of children does not make their disposable income and their welfare. To this end, an assessment of the situation of the identified collective as well as of the necessary reinforcement elements in public action should be carried out.

Article 1. Object.

This Law is intended to regulate a new tax deduction in the Income Tax of Physical Persons and a new non-contributory benefit of Social Security by birth or adoption of children.

Article 2. Qualifying persons.

1. They shall be persons benefiting from the provisions of this Law:

(a) In case of birth, the mother, provided that the birth has occurred in Spanish territory. In the case of the death of the mother without having applied for the provision or early receipt of the deduction, the other parent shall be the beneficiary.

b) In cases of adoption by persons of different sex, the woman, provided that the adoption has been constituted or recognized by competent Spanish authority. In the case of death of the person without having applied for the provision or early receipt of the deduction, the other adopter shall be the beneficiary.

If the adopters were persons of the same sex, the person who both determines by common agreement, provided that the adoption has been constituted or recognized by the competent Spanish authority.

If adoption occurs by a single person, it is, provided it has been constituted or recognized by competent Spanish authority.

2. In any of the cases referred to in the preceding paragraph, it shall be necessary for the beneficiary person to have resided legally, effectively and continuously on Spanish territory for at least the two years immediately preceding the date of made from birth or adoption.

The situation of residence will be determined for those persons who, meeting the above requirements, lack the Spanish nationality, in accordance with the provisions of the Organic Law 4/2000, of 11 January, on rights and freedoms of foreigners in Spain and their social integration, in international treaties and in agreements to be established with the country of origin.

3. In no case shall the adopter be a beneficiary where the adoption of a child by a single person occurs and the parental authority of one of the parents is subsisting.

Article 3. Instrumentation and amount.

The beneficiaries referred to in Article 2 of this Law, for each child born or adopted, shall be entitled to:

(a) A deduction of 2,500 euros per year in the Income Tax of the Physical Persons approved by Law 35/2006, of 28 November, of the Tax on the Income of the Physical Persons and of partial modification of the laws of the Taxes on Societies, on the Income of Non-Residents and on the Heritage, when, being a contributor of such Tax, there are some of the following circumstances:

-to carry out a self-employed or self-employed activity for which it is discharged from the corresponding social security or mutual insurance scheme at the time of birth or adoption.

-that it would have obtained during the previous tax period returns or gains in equity, subject to withholding or income to account, or income from economic activities for which the corresponding split payments.

This deduction may be levied in advance and shall be applied to the state tax tranche.

b) A non-contributory benefit of the Social Security of 2,500 euros, in the event of failure to meet the requirements set out in (a) above.

Article 4. Deadline and procedure for your application.

1. The application for the early perception of the deduction in the Income Tax of the Physical Persons or the non-contributory benefit of the Social Security may be effected from the inscription of the descendant in the Register Civil.

2. The request of the person concerned shall imply his consent for the access, processing and communication of personal data necessary for the exercise of the functions of the administrative bodies responsible for the processing of such data. management and inspection procedures relating to the deduction in the Income Tax of the Physical Persons and the non-contributory benefit of the Social Security covered by this Law, in accordance with the provisions of the Organic Law 15/1999, of 13 December, of Protection of Personal Data, Law 58/2003, of 17 December, General Tax, and the recast text of the General Law of Social Security, approved by Royal Legislative Decree 1/1994, of 20 June.

3. The Minister for Economic Affairs and Finance and the Minister for Labour and Social Affairs shall lay down the procedure and the conditions for the right to the early receipt of the deduction in the Income Tax of the Physical Persons or the non-contributory benefit of Social Security.

Article 5. Competence for the management and administration of the non-contributory benefit of Social Security.

It is up to the National Social Security Institute, through its Director General, to manage and administer the non-contributory benefit referred to in Article 3 (b). This competence, as well as the decision of the complaint prior to the court of law, may be the subject of delegation to the organs of the State Administration of Tax Administration, with the effect of Article 13 of Law 30/1992, of 26 November, of the Legal Regime of Public Administrations and of the Common Administrative Procedure, and the requirements, in respect of the delegated bodies, of the fourth paragraph of the additional provision of Law 6/1997 of 14 April 1997, Organization and Operation of the General Administration of the State.

Additional disposition first. Births and adoptions that entitle the present aid.

The provisions of this Law shall only apply to births which have occurred from 1 July 2007, as well as to the adoptions which would have been established from that date.

Additional provision second. Taxpayers to whom the tax rules of the Income Tax of the Physical Persons are applicable.

The taxpayers to whom the foral rules of Navarre or the Basque Country in the Income Tax of the Physical Persons who meet the requirements laid down in Article 2, shall be applicable, shall be applicable. the right to the non-contributory provision of social security provided for in Article 181.d) of the recast text of the General Law on Social Security adopted by Royal Decree-Law 1/1994 of 20 June.

Additional provision third. Coordination with the Autonomous Communities.

In the framework of family policies, the Government will promote coordination with the Autonomous Communities in determining the circumstances associated with family support and in the integration of the policies of the Social security with those of the same, in order to achieve a greater degree of effectiveness in the achievement of the common objectives, respecting in any case the competence framework of the Autonomous Communities.

Additional provision fourth. Policies aimed at schooling from zero to three years.

In the framework of state policies, always with respect to the competencies of the Autonomous Communities, the government will promote policies aimed at developing schooling from zero to three years.

Additional provision fifth. Policies aimed at the development of the reconciliation of work, personal and family life.

In the framework of state policies, always with respect to the competencies of the Autonomous Communities, the government will promote policies aimed at developing the reconciliation of work, personal and family life.

Additional provision sixth. Gender perspective.

The design, implementation and evaluation of family policies will enhance the gender perspective.

Additional provision seventh. Financing agreements for centres and services enabling the network of children's schools to be set up in the three-year period.

From the General Budget of the State of 2008, the items to be financed will be substantially increased by agreement between the State Administration and the Autonomous Communities and other administrations. the new investments and the start-up of new centres and services that make it possible to extend and generalise the network of children's schools in the three-year period.

Single transient arrangement. Communications submitted prior to the entry into force of this Act.

The communications of births or adoptions submitted prior to the entry into force of this Law by persons who meet the requirements laid down in it or by its legal representatives, shall have the consideration of requests in accordance with the provisions of Article 4 of this Law, which have been formulated from the date of entry into force of this Law.

Final disposition first. Amendments to the Law 35/2006, of 28 November, of the Tax on the Income of the Physical Persons and of partial modification of the laws of the Taxes on Societies, on the Income of the Non-Residents and on the Heritage.

One. A point (z) is added to Article 7 of the Law, in the following terms:

"z) Benefits and family allowances received from any of the Public Administrations, whether linked to birth, adoption, accommodation or child care."

Two. A new Article 81a is added, which shall be worded as follows:

" Article 81 bis. Deduction by birth or adoption.

1. The taxpayers referred to in Article 2 of Law 35/2007 of 15 November may be able to undermine the differential fee of this Tax by EUR 2,500 per year for each child born or adopted in the tax period, provided that they comply with any of the following conditions:

(a) who are engaged in an activity for their own or other self-employed persons for whom they are discharged from the corresponding system of social security or mutual insurance at the time of birth or adoption.

(b) that they had obtained during the previous tax period returns or gains in equity, subject to withholding or income on account, or income from economic activities for which the corresponding split payments.

The deduction shall be made in the tax period in which the descendant's registration has been effected in the Civil Registry.

2. The State Administration of Tax Administration may be required to pay the deduction in advance and may, where appropriate, give in to the other parent or adopter who complies with the requirements laid down in Article 2.2 of Law 35/2007, 15 November, the right to its recovery once it is recognized. It is understood that there is no lucrative transmission for tax purposes by this transfer.

When the deduction is received in advance, the tax differential fee will not be reduced.

3. In no case shall this deduction be entitled if, in respect of the same birth or adoption, the benefit referred to in Article 3 (b) of Law 35/2007 of 15 November has already been received. '

Three. Article 103 is amended, which shall be worded as follows:

" Article 103. Return derived from the rules of the tribute.

1. When the sum of the deductions, income to account and payments broken down by this Tax, as well as the dues of the Income Tax of non-residents referred to in paragraph d) of Article 79 of this Law and, if applicable, of the deductions provided for in Articles 81 and 81 (a) of this Law, whichever is greater than the amount of the quota resulting from the reverse charge, the tax authorities shall, where appropriate, carry out provisional liquidation within six months of the end of the period set for the submission of the declaration.

When the declaration has been filed out of time, the six months referred to in the preceding paragraph shall be computed from the date of its filing.

2. Where the quota resulting from the reverse charge or, as the case may be, the provisional liquidation, is less than the sum of the amounts actually withheld and the payments on account of this tax, as well as of the taxes on the the Income of non-residents referred to in paragraph (d) of Article 79 of this Law and, where appropriate, of the deductions provided for in Articles 81 and 81 bis of this Law, the Tax Administration shall proceed to return the excess over the the quota, without prejudice to the practice of subsequent provisional or definitive liquidations, which proceed. "

Four. A new additional provision is added twenty-sixth, which shall be worded as follows:

" Additional Disposition twenty-sixth. Deduction by birth or adoption in the 2007 tax period.

As provided for in Articles 81 (a) and 103 of this Law, it will only be applicable in respect of births which would have occurred from 1 July 2007, as well as from the adoptions which would have been established from 1 July 2007. that date. "

Final disposition second. Amendments to the General Law on Social Security, recast text approved by Royal Legislative Decree 1/1994 of 20 June.

One. Article 181 (b) is amended as follows:

"(b) A single lump sum payment by birth or child adoption, in the case of large, single parent families and in the case of disabled mothers."

Two. A new paragraph (d) is added to Article 181, with the following wording:

"(d) An economic benefit of single payment by birth or child adoption."

Three. The first subparagraph of Article 182 (1) (c) is amended as follows:

" (c) Do not receive annual income of any kind above 11,000 euros. The above amount shall be increased by 15 per 100 for each child or child in charge, from the second, including. "

Four. Article 182a (1) is amended as follows:

" 1. The amount of the economic allowance referred to in paragraph (a) of Article 181 shall be in the annual calculation of EUR 500, where the child or child in charge is of less than 3 years of age, and of EUR 291, when the child or child is paid in charge is aged between 3 and 18 years of age, except in the special cases referred to in the following Article. '

Five. Article 182a (2) (a) is amended as follows:

"a) 1,000 euros when the child or child in charge has a disability degree equal to or greater than 33 percent."

Six. The heading of Subsection 2, Section 2, Chapter IX, Title II, is amended as follows:

"Subsection 2." Single single-payment economic benefit by birth or child adoption in cases of single parent families and in cases of disabled mothers. "

Seven. Article 185 (1) is amended as follows:

" 1. In cases of birth or adoption of a child in Spain in a large family or who, for that reason, acquire such a condition, in a single parent family or in the case of mothers suffering from a disability equal to or greater than 65%, shall be entitled to an economic benefit from the Social Security system, in the amount and under the conditions set out in the following paragraphs.

For the purposes of the consideration of the large family, the provisions of Law 40/2003 of 18 November of Protection of the Families of Numerous will be available.

Single-parent family shall be understood as a single parent with whom the child is born or adopted and who is the sole breadwinner of the family. "

Eight. Article 186 (1) is amended, which shall be amended as follows:

" 1. The provision by birth or child adoption, as set out in this Subsection, shall consist of a single payment of EUR 1,000. '

Nine. Chapter IX, Title II, a new Subsection, 4. and Articles 188a, 188 b, 188 c, 188 quinquies and 188 sexies-passing the current Subsection 4. th to constitute Subsection 5.-is incorporated into the Second Section of Section 5. following terms:

" Subsection 4. Economic Delivery by Birth or Child Adoption.

Article 188a. Beneficiaries.

The persons referred to in Article 2 of Law 35/2007 of 15 November are beneficiaries of this benefit provided that they have not been entitled to the deduction by birth or adoption governed by Article 81a of the Treaty. Law 35/2006, of 28 November, of the Tax on the Income of the Physical Persons and of partial modification of the laws of the Taxes on Societies, on the Income of the Non-Residents and on the Heritage.

Article 188b. Amount.

The benefit will consist of a one-off payment of 2,500 euros for each child born or adopted.

Article 188c. Deadline for your request.

The application may be made from the registration of the descendant in the Civil Registry.

Article 188 quinquies. Transfer of the payment of the benefit to the other parent or adopter.

The right to the recovery of the economic benefit may be transferred to the other parent or adopter once it is recognized, if it meets the requirements set out in Article 2.2 of Law 35/2007 of 15 November. It is understood that there is no lucrative transmission for tax purposes by this transfer.

Article 188 sexies. Competence for management and administration.

It is for the National Institute of Social Security, through its Director General, to manage and administer the non-contributory benefit referred to in point (d) of Article 181 of the General Law on Security Social. This competence, as well as the decision of the complaint prior to the court of law, may be the subject of delegation to the organs of the State Administration of Tax Administration, with the effect of Article 13 of Law 30/1992, of 26 November, of a Legal Regime of Public Administrations and of the Common Administrative Procedure, and the requirements referred to the delegated bodies of the fourth paragraph of the 13th provision of Law 6/1997 of 14 April 1997, Organization and Operation of the General Administration of the State. "

Ten. Article 189 (4) is incorporated in the following terms:

" 4. The perception of the provision by birth or adoption of a child shall be compatible with the perception of other family benefits of social security, as laid down in this Section. '

Final disposition third. Regulatory enablement.

The Government is empowered to dictate how many provisions are necessary for the development and implementation of this Law.

Final disposition fourth. Entry into force.

This Law shall enter into force on the day of its publication in the "Official Gazette of the State".

Therefore,

I command all Spaniards, individuals and authorities, to keep and keep this law.

Madrid, 15 November 2007.

JOHN CARLOS R.

The President of the Government,

JOSE LUIS RODRIGUEZ ZAPATERO