I

Law 27/2014 of 27 November of the Tax on Societies has established a new regulation of this tax figure, a basic pillar of direct taxation in conjunction with the Income Tax of Persons Physical. While this new regulation has maintained the structure of the Company Tax which has already existed since 1996, significant changes have occurred in the tax treatment of certain income-related income at the base. taxable.

The approval of this new law requires a comprehensive review of the regulatory standard that necessarily accompanies the Corporate Tax, so that the regulation passed through this royal decree meets the double standards. function of adequacy to the new parameters established by Law 27/2014 and to update the rules in the willing.

II

This royal decree consists of a single article, an additional provision, a repeal and three endings.

The single article approves the text of the Corporate Tax Regulation.

The additional provision allows the references made to the previous Company Tax Regulation, approved by Royal Decree 1777/2004 of July 30, to be made to the Tax Regulation on Societies approved in this royal decree.

The repeal provision picks up the repeal of the royal decree mentioned above.

In the final provision, the Rules of Procedure of the Friendly Procedures on Direct Taxation, adopted by Royal Decree 1794/2008 of 3 November 2008, are amended in order to reorder the powers to exercise the functions provided for in that Regulation, in such a way that the status of competent authority falls to the State Tax Administration Agency, in the case of cases relating exclusively to transfer prices, while In the rest of the cases, this condition will be given by the General Directorate of Taxation.

The final disposition second regulates the competency title.

The third final provision provides for the entry into force of the royal decree, including certain specificities in relation to the actual entry into force and the application of certain rules contained in the Regulation.

III

The regulatory development of the Company Tax to be approved in this royal decree is effected by virtue of the ratings contained in the articles of the Law of the Tax, in the final disposition of This Law and Article 93 of Law 58/2003 of 17 December, General Tax. This Regulation consists of 69 articles structured in four titles, one additional provision, five transitional provisions and one final provision.

Title I is intended for the tax base.

Within the same, Chapter I lays down the procedure to be followed for those cases where the taxpayer uses a method of temporary imputation in the accounting field other than that of the accrual, a procedure similar to that of the provided for in the previous Regulation.

Chapter II contains an update on the regulatory development applicable to depreciation, taking into account that the existence of a new General Accounting Plan, approved by Royal Decree 1514/2007, 16 of November, after the previous Regulation makes certain specific rules of application mentioned in this Regulation unnecessary. However, in the area of depreciation, the flexibility contained in the possibility of making special repayment plans at any time within the time limit for the depreciation of the assets is remarkable. whereas this possibility has so far been restricted to three months after the start of the repayment period.

Chapter III contains the special rules for tax deductibility of credit risk coverage in financial institutions, on the same terms as set out in the previous implementing rules.

Chapter IV regulates the expenditure plans for environmental actions and spending and investment plans of communities with common hand-side neighborhood mounts.

Chapter V contains the main novelty of this Regulation, incorporating substantial changes in relation to related entities and transactions. At the present time, it is absolutely essential to echo the conclusions that have been adopted in the so-called 'BEPS' Action Plan, namely the Action Plan against the erosion of the tax base and the transfer of profits, which is it is prepared in the field of the OECD, and in particular with regard to Action 13 on the information and documentation of related entities and operations. It is precisely on the basis of this that the country information is introduced as a novelty, finding legal coverage in the final disposition of the Tax Law and in Article 93 of Law 58/2003 of December 17, General Tax, as an instrument for assessing the risks in the transfer pricing policy of a trading group, without in any case being able to serve as a basis for the tax administration to make price adjustments. This information will be required as of 2016, under the terms and conditions set out in the OECD. In addition, the specific documentation of transactions linked to the tax law is amended, completing, on the one hand, the necessary simplification of this type of documentation for entities with a net amount of the This is a business figure of less than EUR 45 million and, on the other hand, adapting to the content of the documentation set out in the OECD. At this point, it is remarkable that while the documentation is considerably reduced to requiring medium and small entities, significantly simplifying their administrative burdens, the requirement of transparency is increased than the good Current governance requires respect to multinationals.

In Chapter VI, the rules for the determination of the comparability analysis required in the specific documentation are laid down and the procedure for checking the related transactions is updated, taking into account that the same is not limited exclusively to an assessment case. Finally, this chapter regulates the option of avoiding secondary adjustment through the return of assets.

Chapters VII, IX and X regulate procedures for obtaining prior agreements, be they valuation of related operations, valuation of expenditure related to scientific research and innovation projects technology or rating and valuation of income from certain intangible assets.

For your part, Chapter VIII contains the documentation that must accompany the operations performed with persons or entities not related to tax havens.

Title II covers the limits to the aid scheme for audiovisual works laid down in Commission Regulation (EU) No 651/2014 of 17 June 2014 declaring certain categories of aid compatible with the internal market pursuant to Articles 107 and 108 of the Treaty, commonly known as the General Block Exemption Regulation.

Title III is devoted to the rules for the application of certain special schemes, with 7 chapters, respectively, for economic interest groups and temporary joint ventures, for consolidation (a) to the restructuring operations, to certain financial leasing contracts, to foreign securities holding entities, to shipping entities and to political parties. Among them, it is worth noting the adaptation of the formal obligations under the fiscal consolidation regime to the new delimitation of the consolidation perimeter. Furthermore, the disappearance of the option in the restructuring operations regime allows formal obligations to be undermined in this special scheme.

Finally, Title IV is intended for the management of the Tax, dedicating Chapter I to the index of entities, to the return of the Tax and to the obligations of collaboration with external entities in the presentation and management of statements, and Chapter II of the obligations to retain and enter into account. A new Chapter III is incorporated to regulate the procedure for the compensation and payment of deferred tax assets, when the conversion of assets payable to the Public Finance takes place.

All of the above is completed with an additional provision, five transitional provisions, and a final disposition, and a content index is also incorporated to facilitate the use of the standard.

In its virtue, on the proposal of the Minister of Finance and Public Administrations, in agreement with the Council of State and after deliberation of the Council of Ministers at its meeting of July 10, 2015,

DISPONGO:

Single item. Approval of the Corporate Tax Regulation.

The Company Tax Regulation is hereby approved, which is inserted below.

Single additional disposition. Regulatory referrals.

The regulatory references made in other provisions to the Company Tax Regulation, approved by Royal Decree 1777/2004 of 30 July 2004, shall be construed as being made to the relevant provisions of the Regulation. which is approved by this royal decree.

Single repeal provision. Regulatory repeal.

To the entry into force of this Royal Decree will be repealed the Royal Decree 1777/2004, of July 30, for which the Regulation of the Tax on Societies is approved, with the exception of the established in the final disposition of this royal decree.

Final disposition first. Amendment of the Rules of Procedure of Friendly Procedures on Direct Taxation, approved by Royal Decree 1794/2008 of 3 November 2008.

With effect from 1 January 2016, the following amendments are made to the Rules of Procedure of the Friendly Procedures on Direct Taxation, approved by Royal Decree 1794/2008 of 3 November 2008:

One. Article 2 is amended as follows:

" Article 2. Competent Authority.

The competent authority to exercise the functions regulated in this Regulation shall be:

a) With a general character, the General Tax Directorate.

(b) The State Tax Administration Agency in the case of the procedures laid down in Title III of this Regulation, as well as those covered by Title II when they relate to the application of the Articles of Conventions to avoid double taxation that regulate business benefits with permanent establishment and associated enterprises.

The friendly procedures that are of joint competence will be coordinated by the General Tax Directorate.

It is up to the competent authority to push the actions. "

Two. Paragraph 1 of Article 9 is amended as follows:

" 1. The instruction of the procedure, as well as the fixing of the Spanish position, shall be the responsibility of the competent authority.

The instruction of the procedures that are the joint competence of the General Directorate of Taxation and the State Agency of the Tax Administration will be coordinated by the Directorate General of Taxation. The Spanish position shall be jointly fixed by the two competent authorities. '

Three. Paragraph 1 of Article 19 is amended as follows:

" 1. The instruction of the procedure and the fixing of the Spanish position shall be the responsibility of the competent authority.

The instruction of the procedures that are the joint competence of the General Tax Directorate and the State Tax Administration Agency will be coordinated by the General Tax Directorate. "

Final disposition second. Competence title.

This royal decree is adopted pursuant to the provisions of Article 149.1.14. of the Constitution which attributes to the State the competence in matters of general finance.

Final disposition third. Entry into force.

This royal decree will enter into force on the day following its publication in the "Official State Gazette".

The Company Tax Regulation shall apply to the tax periods initiated from 1 January 2015, except for Article 14 which shall enter into force for tax periods initiated on or after 1 January 2015. 2016.

In the case of persons or entities whose net amount of the business figure, as defined in the terms of Article 101 of Law 27/2014 of 27 November 2014, of the Company Tax is equal to or greater than 45 EUR million, the specific information and documentation provided for in Articles 15 and 16 of the Regulation shall apply for the tax periods starting from 1 January 2016. In the tax periods starting in 2015, those persons or entities shall be subject to the documentation obligations laid down in Articles 18, 19 and 20 of the Company Tax Regulation, approved by the Royal Decree 1777/2004, July 30.

Given in Madrid, July 10, 2015.

FELIPE R.

The Minister of Finance and Public Administrations,

CRISTOBAL MONTORO ROMERO

CORPORATION TAX REGULATION

INDEX

Title I. The tax base.

Chapter I. Temporary imputation of revenue and expenditure: approval of criteria other than accrual.

Article 1. Approval of temporary imputation criteria other than accrual.

Article 2. Competent body.

Chapter II. Redemptions.

Article 3. Depreciation of property assets of tangible, intangible and real estate assets: common rules.

Article 4. Amortization according to the amortisation table set out in the Tax Act.

Article 5. Depreciation by constant percentage.

Article 6. Amortization by digit numbers.

Article 7. Repayment plans.

Chapter III. Credit risk coverage in financial institutions.

Article 8. Scope of application.

Article 9. Credit risk coverage.

Chapter IV. Expenditure plans corresponding to environmental actions. Special plans for investments and expenses of communities with common hand-held neighborhood mounts.

Article 10. Plans for expenditure related to environmental actions.

Article 11. Special plans for investments and expenses of communities with common hand-held neighborhood mounts.

Article 12. Competent body.

Chapter V. Information and documentation on entities and related operations.

Section 1. General Elements of Information and Documentation on Related Entities and Operations.

Article 13. Information and documentation on related entities and operations.

Section 2. Country Country Information.

Article 14. Country by country information.

Section 3. Specific Documentation.

Article 15. Documentation specific to the group to which the taxpayer belongs.

Article 16. Taxpayer-specific documentation.

Chapter VI. Assessment rules and related operations checking procedure.

Section 1. Determination of the market value of the related transactions. Specific rules.

Article 17. Determination of the market value of related transactions: comparability analysis.

Article 18. Requirements of the cost sharing arrangements subscribed between persons or related entities.

Section 2. Check for linked operations.

Article 19. Verification of the related operations.

Section 3. Heritage Restitution.

Article 20. Equity return arising from differences between the agreed value and the market value of the related transactions.

Chapter VII. Prior agreements for the valuation of transactions between persons or related entities.

Section 1. Previous Operations Assessment Agreements between people or linked entities.

Article 21. Previous performances.

Article 22. Start of the procedure.

Article 23. Scheme of the documentation submitted.

Article 24. Processing.

Article 25. Termination and effects of the agreement.

Article 26. Resources.

Article 27. Competent bodies.

Article 28. Information on the implementation of the agreement for the assessment of transactions carried out with related persons or entities.

Article 29. Modification of the prior assessment agreement.

Article 30. Extension of the prior assessment agreement.

Section 2. Previous Operations Assessment Agreements with other tax administrations.

Article 31. Procedure for the agreement of operations linked to other public administrations.

Article 32. Start of the procedure.

Article 33. Processing.

Article 34. Resolution.

Article 35. Competent bodies.

Article 36. Request for other tax administration.

Chapter VIII. Documentation of transactions with persons or entities not related to resident in tax havens.

Article 37. Documentation of transactions with persons or entities not related to resident in tax havens.

Chapter IX. Prior assessment of expenditure related to scientific research or technological innovation projects.

Article 38. Prior assessment of expenditure related to scientific research or technological innovation projects.

Chapter X. Prior valuation or rating agreements and valuation of income from certain intangible assets.

Article 39. Start of the procedure.

Article 40. Processing.

Article 41. Termination and effects of the agreement.

Article 42. Competent body.

Article 43. Modification of the prior valuation or rating and valuation agreement.

Article 44. Extension of the prior assessment agreement or the prior assessment and rating agreement.

Title II. Limits on aid resulting from the application of European Union law.

Article 45. Limits on the accumulation of aid to the film sector.

Title III. Rules for the application of certain special schemes.

Chapter I. Spanish and European economic interest groupings, temporary joint ventures.

Article 46. Obligations of economic, Spanish and European interest groups and temporary joint ventures.

Chapter II. Tax consolidation regime.

Article 47. Implementation and reporting obligations of entities covered by the tax consolidation regime.

Chapter III. Scheme of mergers, divisions, contributions of assets, exchange of securities and change of registered office of a European Company or a European Cooperative Society from one Member State to another of the European Union.

Article 48. Communication of the special scheme.

Article 49. Content of the communication.

Chapter IV. Tax regime for certain leasing contracts.

Article 50. Leasing contracts.

Chapter V. Regime of foreign securities holding entities.

Article 51. Communication of the option and the waiver in the regime of foreign securities holding entities.

Chapter VI. Arrangements for shipping entities on the basis of tonnage.

Article 52. Scope of application: operation of vessels.

Article 53. Procedure for applying the scheme.

Article 54. Waiver and non-compliance with the scheme.

Chapter VII. Political parties.

Article 55. Economic holdings of the Political Parties exempted from the Corporate Tax.

Article 56. Accreditation for the purposes of exclusion from the obligation to retain or to take into account the exempt income received by political parties.

Title IV. Tax Management.

Chapter I. Entity index, return and collaboration obligations.

Article 57. Index of entities.

Article 58. Return.

Article 59. External collaboration in the presentation and management of declarations.

Chapter II. Obligation to retain and enter into account.

Article 60. Income subject to withholding or income on account.

Article 61. Exceptions to the obligation to retain and to enter into account.

Article 62. Subjects required to retain or make an entry into account.

Article 63. Rating of financial assets and tax requirements for the transmission, redemption and amortization of financial assets.

Article 64. Basis for the calculation of the obligation to retain and enter into account.

Article 65. Birth of the obligation to retain and enter into account.

Article 66. Percentage of retention and income on account.

Article 67. Amount of the withholding or income on account.

Article 68. Obligations of the retainer and the obligation to enter into account.

Chapter III. Conversion of deferred tax assets into claims payable against the public treasury. Verification and credit procedure.

Article 69. Procedure for the clearing and payment of claims against the public finances.

Single additional disposition. Concept of a patrimonial entity in tax periods initiated prior to 1 January 2015.

First transient disposition. Amortization of used items.

Second transient disposition. Credit risk in financial institutions.

Transitional provision third. Transitional arrangements for tax benefits on certain financial transactions.

Transitional disposition fourth. Transitional arrangements for changes in the retention of capital income and on capital gains.

Transient disposition fifth. Reporting obligations of the transitional provision of the Tax Act.

Final disposition. Enable the Minister of Finance and Public Administrations.

TITLE I

The tax base

CHAPTER I

Temporary imputation of revenue and expenditure: approval of criteria other than accrual

Article 1. Approval of temporary imputation criteria other than accrual.

1. Institutions using, for accounting purposes, a criterion for temporary imputation of income and expenses other than accrual shall be required to submit an application to the tax administration so that the criterion is tax-effective.

2. The request must contain the following data:

(a) A description of the revenue and expenditure to which the temporary imputation criterion affects, in addition to its nature, its importance in the whole of the taxpayer's operations.

b) Description of the temporary imputation criterion whose tax effectiveness is requested. In the event that the criterion of temporary imputation is mandatory, the accounting standard that establishes such an obligation shall be specified.

c) Justification of the adequacy of the proposed temporary imputation criterion to the faithful image that must provide the annual accounts and explanation of their influence on the equity, the financial situation and the results of the taxpayer.

d) Description of the incidence, for tax purposes, of the temporary imputation criterion.

3. The application shall be submitted at least 6 months in advance of the first tax period for which it is intended to have an effect.

The taxpayer will be able to desist from the request.

4. The tax administration may collect from the taxpayer how much data, reports, background and supporting documents are necessary.

The taxpayer may, at any time in the proceedings before the hearing, present the allegations and provide the documents and supporting documents that it considers relevant.

5. Having instructed the procedure, and immediately before drawing up the motion for a resolution, the taxpayer shall be exposed to the taxpayer, who shall have a period of 15 days in which to make the allegations and to present the documents and justifications which considers relevant.

6. The resolution terminating the procedure may:

a) Approve the criterion of temporary imputation of income and expenses formulated by the taxpayer.

b) Disestimate the criterion of temporary imputation of income and expenses formulated by the taxpayer.

The resolution will be motivated.

The procedure must be completed before 6 months, counted from the date on which the application has entered into any of the Records of the competent administrative body or from the date of the requirement of that body.

7. After the period referred to in the previous paragraph has not been expressed, the criterion of temporary imputation of revenue and expenditure used by the taxpayer shall be deemed to have been approved.

Article 2. Competent body.

It will be competent to instruct and resolve the procedure the organ of the State Administration of Tax Administration that corresponds according to its rules of organic structure.

CHAPTER II

Redemptions

Article 3. Depreciation of property assets of tangible, intangible and real estate assets: common rules.

1. The depreciation of the property assets of tangible, intangible and real estate assets shall be deemed to be effective where it is the result of applying any of the methods provided for in Article 12 (1) of the Act. of the Tax.

2. The purchase price or production cost shall be amortised, excluding, where appropriate, the residual value. In the case of buildings, the share of the purchase price corresponding to the value of the land excluded, where appropriate, the costs of rehabilitation, shall not be depreciable. Where the value of the land is not known, it shall be calculated by apportioning the purchase price between the land and construction land-to-construction values in the year of acquisition. However, the taxpayer may use a different purchasing price criterion, where it is proved that this criterion is based on the normal market value of the land and the construction in the year of acquisition.

3. The property assets of tangible fixed assets and real estate investments shall begin to be amortised from their entry into operation and those of intangible fixed assets from the moment they are in a position to produce revenue.

The property assets of tangible, intangible and real estate assets must be amortised within the period of their useful life.

4. Where the renewals, extensions or improvements of the assets of the tangible fixed assets and property investments are incorporated into the fixed assets, the amount of the assets shall be amortised during the tax periods remaining to complete the useful life of these heritage elements. To this end, each tax period shall be charged the result of applying to the amount of the renewals, extensions or improvements the coefficient resulting from dividing the depreciation of the assets held in each period tax, in so far as it corresponds to the actual depreciation, between the book value that the asset item had at the beginning of the tax period in which the renewal, extension or improvement operations were carried out.

The assets that have been the subject of renewal, extension or improvement operations will continue to be depreciated according to the method that was previously applied to the performance of the operations.

When the transactions referred to in this paragraph determine an extension of the estimated useful life of the asset, such an extension shall be taken into account for the purposes of the depreciation of the assets and the amount of Renewal, extension, or enhancement.

5. The rules of the previous paragraph shall also apply in the case of accounting revaluations carried out under statutory or regulatory rules which require the inclusion of their amount in the accounting result.

6. In the case of merger, division, total and partial, and contribution, the depreciation method to which it was subject should be continued for each of the assets acquired, except where the taxpayer prefers to apply his own method of amortization.

Article 4. Amortization according to the amortisation table set out in the Tax Act.

1. Where the taxpayer uses the amortisation method according to the amortisation table set out in the Tax Act, the depreciation shall be deemed effective if it corresponds to the result of applying to the purchase price or cost of production of the assets of the fixed assets of any of the following coefficients:

a) The maximum linear amortization coefficient set in the table.

b) The linear amortization ratio that is derived from the maximum amortization period set in the table.

(c) Any other linear amortization coefficient comprised of the above two.

For the purposes of applying the provisions of Article 11 (3.1) of the Tax Act, where a property element has been depreciated in an amount less than the amount resulting from the tax apply the coefficient provided for in point (b) above, the excess of the write-downs taken into account in subsequent tax periods in respect of the amount resulting from the application of the provisions referred to in point (a) above, corresponds to the tax period cited in the first place, up to the amount of the depreciation it would have been in accordance with the provisions referred to in point (b) above.

2. Where a patrimonial element is used on a daily basis on more than one normal working shift, it may be amortised on the basis of the ratio formed by the sum of:

(a) the linear amortization ratio that is derived from the maximum amortization period, and

(b) the result of multiplying the difference between the maximum linear amortisation coefficient and the linear depreciation coefficient resulting from the maximum depreciation period, by the ratio between the daily hours usually worked and eight hours.

The provisions of this paragraph shall not apply to those elements which, by their technical nature, must be used on a continuous basis.

3. In the case of property assets and real estate investments which are acquired, i.e. not placed under operating conditions for the first time, the calculation of the depreciation shall be carried out in accordance with the the following criteria:

(a) On the purchase price, up to the limit resulting from multiplying by 2 the amount derived from applying the maximum linear amortization coefficient.

(b) If the original purchase price or production cost is known, it may be taken as the basis for the application of the maximum linear depreciation coefficient.

(c) If the original purchase price or production cost is not known, the taxpayer may determine that price. Such purchase price or production cost shall be established in accordance with the provisions of the preceding subparagraph.

Dealing with used assets acquired from entities belonging to the same group of companies, in accordance with the criteria laid down in Article 42 of the Commercial Code, regardless of residence and the obligation to draw up consolidated annual accounts, the depreciation shall be calculated in accordance with point (b), except where the purchase price has been higher than the original, in which case the deductible depreciation shall be limited to the result of applying the linear amortisation coefficient to the acquisition price maximum.

For the purposes of this paragraph, buildings whose seniority is less than ten years old shall not be regarded as used assets.

Article 5. Depreciation by constant percentage.

1. Where the taxpayer uses the depreciation method according to a constant percentage, the depreciation shall be effective if it corresponds to the result of applying to the outstanding value of the asset item a constant percentage which shall be determined by weighting any of the coefficients resulting from the application of the depreciation table provided for in Article 12 (1) of the Tax Act by the following coefficients:

a) 1.5, if the asset item has a amortization period of less than 5 years.

(b) 2, if the asset item has a amortization period equal to or greater than 5 and less than 8 years.

(c) 2.5, if the asset item has a amortization period equal to or greater than 8 years.

The amortisation period shall be that corresponding to the chosen linear amortisation ratio.

In no case will the constant percentage be less than 11 percent.

The amount outstanding in the tax period in which the lifetime completion occurs will be amortised in that tax period.

2. Buildings, furniture and goods may not be amortised by means of the method of depreciation according to a constant percentage.

3. The acquired assets used may be amortised by the method of depreciation as a percentage constant, applying the constant percentage referred to in paragraph 1.

Article 6. Amortization by digit numbers.

1. Where the taxpayer uses the method of amortisation according to digit numbers, the depreciation shall be effective if the depreciation fee is obtained by applying the following method:

a) The sum of digits shall be obtained by the addition of the numerical values assigned to the years in which the patrimonial element is to be amortized. For these purposes, the largest numerical value of the series of years in which the asset item is to be amortised shall be assigned to the year in which the amortisation is to begin, and for the following years, successively decreasing numerical values in a unit, until reaching the last considered for amortization, which will have a numeric value equal to the unit.

The allocation of numeric values may also be performed in a reverse manner as provided in the preceding paragraph.

The amortisation period may be any of the periods between the maximum period and the one deduced from the maximum linear amortisation coefficient according to the amortisation table set out in the Tax Act, both inclusive.

b) The purchase price or production cost shall be divided between the sum of digits obtained in accordance with the preceding paragraph, thus determining the digit share.

c) The quota will be multiplied by digit by the numeric value corresponding to the tax period.

2. Buildings, furniture and goods shall not be amortised by means of the method of amortisation according to digit numbers.

3. The acquired assets used may be amortised by means of the amortisation method according to the digit number, in accordance with paragraph 1.

Article 7. Repayment plans.

1. Taxpayers may propose to the tax administration a plan for the depreciation of the property assets of tangible, intangible or real estate assets.

2. The request must contain the following data:

(a) Description of the property elements of the special depreciation plan, indicating the activity to which they are attached and their location.

b) A method of amortization that is proposed, indicating the temporary distribution of the redemptions that are derived from it.

c) Justification of the proposed amortization method.

d) The purchase price or production cost of the assets.

e) The start date of the depreciation of the assets.

In the case of property assets under construction, the expected date on which the amortization should begin shall be indicated.

3. The application shall be submitted within the period of construction or depreciation of the assets.

The taxpayer will be able to desist from the request.

4. The tax administration may collect from the taxpayer how much data, reports, background and supporting documents are necessary.

The taxpayer may, at any time in the proceedings before the hearing, present the allegations and provide the documents and supporting documents that it considers relevant.

5. Having instructed the procedure, and immediately before drawing up the motion for a resolution, the taxpayer shall be exposed to the taxpayer, who shall have a period of 15 days in which to make the allegations and to present the documents and justifications which considers relevant.

6. The resolution terminating the procedure may:

a) Approve the repayment plan formulated by the taxpayer.

b) Approve, with the acceptance of the taxpayer, a repayment plan that differs from the one initially presented.

c) Unestimate the repayment plan formulated by the taxpayer.

The resolution will be motivated.

The procedure must be completed before three months from the date on which the application has entered into any of the records of the competent administrative body or from the date of its requirement of that body.

7. After the period referred to in the previous paragraph, the repayment plan formulated by the taxpayer shall be deemed to have been approved without an express resolution.

8. The approved depreciation plan shall take effect in the tax periods ending after the date of filing, unless a separate date is expressly set out.

9. The approved depreciation plans may be amended at the request of the taxpayer, with the rules laid down in the preceding paragraphs being observed. Such a request shall be made in the tax period in which the amendment is to take effect.

10. The approved depreciation plans may be applied to those other assets of identical characteristics, the depreciation of which is to begin before the 3-year period from the date of notification of the approval agreement. the repayment plan, provided that the physical, technological, legal and economic circumstances of the approved depreciation method are substantially maintained. Such application shall be the subject of communication to the State Tax Administration Agency before the end of the tax period in which it is to take effect.

11. It shall be competent to instruct and resolve the file of the body of the State Tax Administration Agency that corresponds in accordance with its rules of organic structure.

CHAPTER III

Credit Risk Coverage on Financial Entities

Article 8. Scope of application.

This chapter will apply to credit institutions required to formulate their individual annual accounts in accordance with the rules established by the Banco de España, as well as to branches of credit institutions. credit residents abroad operating in Spain.

It shall also apply to the securitisation funds referred to in Title III of Law 5/2015 of 27 April 2015 on the promotion of business financing in relation to the deductibility of value adjustments for the impairment of debt instruments valued at their amortised cost.

Article 9. Credit risk coverage.

1. The amounts corresponding to the coverage of the credit risk shall be deductible up to the amount of the minimum amounts provided for in the rules established by the Banco de España.

2. The appropriations corresponding to losses in respect of the appropriations referred to above shall not be deductible unless they are the subject of an arbitral or judicial procedure to be found on their existence or amount:

a) Those owed or secured by public law entities.

(b) Guaranteed by real rights, domain reserve covenants and the right of retention, where the object of the said actual rights are completed dwellings.

However, the appropriations which would have been carried out in the cases of loss or loss of the guarantee, as well as those applied in accordance with paragraph 17.b) of Annex IX to the Circular, shall be deductible. 4/2004, of December 22, of the Banco de España.

c) Guaranteed with money deposits or credit or caution insurance contracts.

(d) Those who are subject to an internal renewal agreement or agreement, it being understood that such a subjection occurs when, after the occurrence of the determining circumstances of the credit risk, the taxpayer grants credit to the debtor.

The refresh will not be considered to occur in the following cases:

1. Concession of new facilities or renegotiation of the debts incurred by the accredited, resident or non-resident, in the case of contealed procedures, plans of viability, reconversion or analogous situations.

2. The assignment of financial facilities to the debtor exclusively related to the financing of their sales.

3. The simple extension or reinstrumentation of the operations, carried out in order to obtain a better formal quality of the legal title without obtaining new effective guarantees.

e) Those owed by persons or entities linked in accordance with the provisions of Article 18 of the Tax Law, except if they are in a situation of competition, insolvencies judicially declared or in others duly accredited circumstances evidencing a reduced possibility of recovery.

(f) Those owed by political parties, workers ' unions, business associations, professional associations and official chambers, except in cases of conformal proceedings, judicial insolvencies declared or concurrence with other duly justified circumstances showing reduced possibilities for recovery.

g) The so-called sub-standard in Annex IX, paragraph 7, of Circular 4/2004 of 22 December, in the part corresponding to transactions with collateral or whose allocations would be excluded from the deduction for incurring (a) some of the other circumstances described in paragraphs (a) to (f) above, as well as those guaranteed by other entities of the same group of companies within the meaning of Article 42 of the Code of Commerce, irrespective of residence and the obligation to draw up consolidated annual accounts.

The deductible amount corresponding to other transactions may not exceed the generic coverage that would have been classified as normal risk, by application of the alpha parameter referred to in paragraph 29.b.) of Annex IX to Circular 4/2004 of 22 December 2004.

h) In the case of coverage of the so-called country-risk, the envelopes relating to:

shall not be deductible.

1. º The signature credits and risks indirectly guaranteed by any type of commercial or financial transaction.

2. º The portion of the credit not disposed by the debtor.

3. º Countries included in the group of unclassified countries, except for the party that affects interbank transactions.

3. Allocations based on global estimates, including statistics, of credit risk shall not be deductible. However, the amount of the generic coverage, which does not correspond to contingent risks, shall be deductible, with the limit of the result of applying one per cent on the overall positive change in the tax period of the instruments of debt classified as normal risk as referred to in paragraph 7.a) of Annex IX to Circular 4/2004 of 22 December, excluding debt instruments with no appreciable risk, securities traded on organised secondary markets, claims covered with collateral and outstanding fees due to lease contracts financial envelope for real estate. The generic coverage corresponding to contingent risks shall be deductible in the part that has been provided by application of the alpha parameter referred to in paragraph 29.b) of that Annex IX.

CHAPTER IV

Expense plans for environmental actions. Special plans for investments and expenses of communities with common hand-side neighborhood mounts

Article 10. Plans for expenditure related to environmental actions.

1. In accordance with Article 14 (4) of the Tax Law, taxpayers may submit to the tax administration a plan of expenditure corresponding to environmental actions.

2. The request must contain the following data:

(a) Description of the obligations of the taxpayer or commitments acquired by the taxpayer to prevent or repair damage to the environment.

b) Technical description and justification of the need for the performance to be performed.

(c) Estimated amount of expenditure related to environmental performance and justification for the environmental performance.

(d) Criteria for temporary imputation of the estimated amount of the expenditure related to the environmental performance and the justification for it.

e) The start date of the environmental performance.

3. The application shall be submitted within 3 months of the date of birth of the obligation or commitment of the environmental performance.

The taxpayer will be able to desist from the request.

4. The tax administration may collect from the taxpayer how much data, reports, background and supporting documents are necessary.

The taxpayer may, at any time in the proceedings before the hearing, present the allegations and provide the documents and supporting documents that it considers relevant.

5. Having instructed the procedure, and immediately before drawing up the motion for a resolution, the taxpayer shall be exposed to the taxpayer, who shall have a period of 15 days in which to make the allegations and to present the documents and justifications which considers relevant.

6. The resolution terminating the procedure may:

a) Approve the expense plan formulated by the taxpayer.

b) Approve, with the acceptance of the taxpayer, an alternative plan of expenses.

c) Unestimate the expense plan formulated by the taxpayer.

The resolution will be motivated.

The procedure must be completed within three months.

7. After the period referred to in the previous paragraph, the expenditure plan formulated by the taxpayer shall be deemed to have been approved without having been notified.

8. The expenditure plans for approved environmental actions may be amended at the request of the taxpayer, with the rules laid down in the preceding paragraphs being observed. Such a request shall be made within the last 3 months of the tax period in which the amendment has to take effect.

Article 11. Special plans for investments and expenses of communities with common hand-held neighborhood mounts.

1. Where it is proved that investments and expenditure must necessarily be carried out within a period exceeding that provided for in Article 112 (1) of the Tax Act, taxpayers may submit special plans for investments and expenditure.

2. The request must contain the following data:

(a) Description of expenditure, investments and their amounts made within the time limit provided for in Article 112 (1) of the Tax Act.

b) Description of the investments or outstanding expenses covered by the special plan.

c) Effective or intended amount of the plan's investments or expenses.

d) Description of the temporary investment or expense realization plan.

e) Description of the specific circumstances justifying the special investment and expenditure plan.

3. The special reinvestment plan shall be submitted before the end of the last tax period referred to in Article 112 (1) of the Tax Act.

The taxpayer will be able to desist from the request.

4. The tax administration may collect from the taxpayer how much data, reports, background and supporting documents are necessary. It shall also be necessary to obtain a report from the bodies of the Autonomous Communities which have competence in forestry matters in which the taxpayer is domiciled.

The taxpayer may, at any time in the proceedings before the hearing, present the allegations and provide the documents and supporting documents that it considers relevant.

5. Having instructed the procedure, and immediately before drawing up the motion for a resolution, the taxpayer shall be exposed to the taxpayer, who shall have a period of 15 days in which to make the allegations and to present the documents and justifications which considers relevant.

6. The resolution terminating the procedure may:

a) Approve the special plan of investments and expenses formulated by the taxpayer.

b) Approve, with the acceptance of the taxpayer, a special plan of investments and alternative expenses.

c) Disestimate the special investment and expense plan formulated by the taxpayer.

The resolution will be motivated.

The procedure must be completed within three months.

7. After the period referred to in the previous paragraph, the special investment and expenditure plan shall be deemed to have been approved without having been notified.

8. In the event of total or partial non-compliance with the plan, the taxpayer shall regularise its tax situation in accordance with the terms laid down in Article 125 (3) of the Tax Act, taking into account the proposed investment or expenditure and the effectively performed.

Article 12. Competent body.

It will be competent to instruct and resolve the procedure relating to plans of expenditure corresponding to environmental actions and of investments and expenses of the communities holders of communal mountains in common hand, the organ of the State Tax Administration Agency that corresponds according to its rules of organic structure.

CHAPTER V

Related entities and operations information and documentation.

Section 1. General Elements of Information and Documentation on Related Entities and Operations

Article 13. Information and documentation on related entities and operations.

1. Entities resident in Spanish territory that have the status of a group of dominant positions, as defined in the terms of Article 18.2 of the Tax Act, and are not at the same time dependent on another entity, resident or not resident, they shall provide the country information per country referred to in Article 14 of this Regulation.

Also, this information must be provided by entities resident in Spanish territory that are directly or indirectly dependent on a non-resident entity in Spanish territory other than at the same time as another or a permanent establishments of non-resident entities, provided that one of the following circumstances occurs:

a) That they have been designated by their non-resident parent to elaborate such information.

(b) That there is no country-by-country reporting obligation in terms analogous to that provided for in this paragraph in respect of the non-resident entity in its country or territory of tax residence.

c) That there is no automatic exchange of information agreement with respect to that information with the country or territory in which the non-resident entity is fiscally resident.

(d) That, with an automatic exchange of information regarding such information with the country or territory in which the non-resident entity is fiscally resident, a non-compliance has occurred (a) a systematic statement of the same amount as has been communicated by the Spanish tax administration to the dependent entities or to the permanent establishments resident in Spanish territory within the time limit laid down in the following paragraph.

For the purposes of this paragraph, any entity resident in Spanish territory that is part of a group required to present the information herein shall inform the tax administration of the identification and the country or territory of residence of the entity required to draw up this information. This communication shall be made before the end of the tax period to which the information relates.

The deadline for submitting the information provided for in this paragraph shall be 12 months after the end of the tax period. The provision of such information shall be made in the model drawn up for this purpose, which shall be approved by the Order of the Minister for Finance and Public Administration.

2. For the purposes of Article 18.3 of the Tax Act, the persons or entities involved, in order to justify that the transactions carried out have been valued at their market value, shall, at the request of the Tax administration, the following specific documentation:

(a) The documentation referred to in Article 15 of this Regulation relating to the related transactions of the group to which the taxpayer belongs, as defined in the terms of Article 18.2 of the Law of the Tax, including permanent establishments forming part of it.

(b) The documentation of the taxpayer referred to in Article 16 of this Regulation. The permanent establishments of non-resident entities on Spanish territory shall also be required to provide this documentation.

This documentation shall be made available to the tax administration upon the completion of the voluntary declaration period, and is independent of any additional documentation or information that the Tax administration may request in the exercise of its functions, in accordance with the provisions of Law 58/2003, of December 17, General Tax, and in its implementing regulations.

The specific documentation indicated must be prepared in accordance with the principles of proportionality and sufficiency. In its preparation, the taxpayer may use that relevant documentation for other purposes.

3. However, the specific documentation referred to in the above paragraph shall not apply:

(a) To transactions between entities that are integrated into the same fiscal consolidation group, without prejudice to the provisions of Article 65.2 of the Tax Act.

(b) to the transactions carried out with its members or with other entities belonging to the same group of fiscal consolidation by the economic interest groups, as provided for in Law 12/1991 of 29 April Groupings of Economic Interest, and temporary unions of undertakings, governed by Law 18/1982 of 26 May 1982 on the taxation of temporary associations and associations of undertakings and of regional industrial development societies, and registered in the special register of the Ministry of Finance and Public Administrations. However, the specific documentation shall be required in the case of temporary unions of undertakings or forms of collaboration analogous to temporary unions, which are in accordance with the arrangements laid down in Article 22 of the Tax Act.

(c) To transactions carried out in the field of public offering for sale or public offering for the acquisition of securities.

(d) To transactions carried out with the same person or related entity, provided that the amount of the consideration of the set of operations does not exceed EUR 250,000, in accordance with the market value.

4. The taxpayer shall include in the statements provided for, the information relating to its related operations in the terms established by the Order of the Minister of Finance and Public Administrations.

Section 2. Country Country Information

Article 14. Country by country information.

1. The country-by-country information set out in this Article shall be payable to the entities referred to in Article 13 (1) of this Regulation, exclusively, where the net amount of the business figure of the set of persons or entities that are part of the group, in the 12 months prior to the start of the tax period, at least EUR 750 million.

2. Country-by-country information shall comprise, in respect of the tax period of the parent entity, in an aggregated form, for each country or jurisdiction:

a) Gross income of the group, distinguishing between those obtained with related entities or with third parties.

(b) Results before the Tax on Companies or Taxes of an identical or similar nature.

c) Taxes on Companies or Taxes of an identical or similar satisfied nature, including the supported holds.

d) Taxes on Companies or Taxes of an identical or similar nature to the same accrual, including withholding taxes.

e) Amount of capital figure and other existing own funds at the date of completion of the tax period.

f) Average template.

g) tangible assets and real estate investments other than treasury and credit claims.

h) List of resident entities, including the permanent establishments and main activities carried out by each of them.

i) Other information that is considered relevant and an explanation, if any, of the data included in the information.

3. The information set out in this Article shall be presented in euro.

Section 3. Specific Documentation

Article 15. Documentation specific to the group to which the taxpayer belongs.

1. The documentation relating to the group referred to in Article 13 (2) (a) of this Regulation shall include:

a) Information regarding the structure and organization of the group:

1. General Description of the group's organizational, legal and operational structure, as well as any relevant changes in the group.

2. º Identification of the different entities that are part of the group.

b) Information about the activities of the group:

1. Group's main activities, as well as a description of the main geographic markets in which the group operates, main sources of profit and supply chain for those goods and services they represent, at least 10 percent of the net amount of the group's business figure, corresponding to the tax period.

2. General Description of the functions exercised, risks assumed and main assets used by the different entities in the group, including changes from the previous tax period.

3. A description of the group policy on transfer pricing that includes the pricing method or methods adopted by the group.

4. The relationship and brief description of the cost sharing agreements and relevant service delivery contracts between entities in the group.

5. Description of the reorganization and acquisition or disposal operations of relevant assets, carried out during the tax period.

c) Information regarding the group's intangible assets:

1. General description of the group's overall strategy in relation to the development, ownership and exploitation of intangible assets, including the location of the main facilities in which activities are carried out of research and development, as well as the direction of them.

2. th Relation of the relevant group's intangible assets for the purpose of transfer pricing, indicating the entities holding them, as well as a general description of the group's transfer pricing policy in relationship to the same.

3. º Amount of the consideration for the group's related operations, derived from the use of intangible assets, identifying the entities of the group concerned and their territories of residence fiscal.

4. The relationship of agreements between the entities of the group relating to intangibles, including the cost sharing agreements, the main research services agreements and licensing agreements.

5. º Overview of any relevant transfer of intangible assets made in the tax period, including entities, countries and amounts.

d) Financial activity information:

1. º Overview of the group's form of financing, including the main financing agreements entered into with individuals or entities outside the group.

2. The identification of the entities of the group performing the main financing functions of the group, as well as the country of its constitution and the country of its effective address.

3. º General description of the transfer pricing policy regarding financing agreements between entities in the group.

e) Financial and fiscal situation of the group:

1. the group's consolidated annual financial statements, as long as they are mandatory for the group or are prepared on a voluntary basis.

2. th Relationship and brief description of the current valuation arrangements in force and any other decisions with any tax authority affecting the distribution of the group's benefits between countries.

2. The documentation provided for in this Article shall not apply to those groups in which the net amount of the turnover, as defined in the terms of Article 101 of the Tax Law, is less than 45 million. euro.

3. For the purposes of Article 18.13 of the Tax Act, the information referred to in point (a) of the first subparagraph of point (a) of the first subparagraph of point (a) of point (a) of point (a) of point (a) of point (b) of point (b) of point (c) of point (c) of Article 18 (1) of the Tax Act and the numbers 1 and 3. of point (d) of paragraph 1 of this Article. For the same purposes, each of the information referred to in point (a) of the second subparagraph of point (b) of the first subparagraph of point (b) shall be taken into account for the purposes of the second subparagraph of point (c) of point (b) of point (b) of point (c) of point (d) of point (c) and the numbers of the numbers 1. 1. and 2. (e) of paragraph 1 of this Article.

Article 16. Taxpayer-specific documentation.

1. The specific documentation of the taxpayer shall include:

a) Taxpayer information:

1. The structure of management, organisation chart and persons or entities to which the reports on the development of the taxpayer's activities are addressed, indicating the countries or territories in which such persons or entities have their tax residence.

2. A description of the taxpayer's activities, its business strategy and, where appropriate, its participation in restructuring operations or the transfer or transfer of intangible assets in the tax period.

3. Top Competitors.

b) Related operations information:

1. º Detailed description of the nature, characteristics, and amount of the related operations.

2. "Name" or "social name" or "full name", tax address and tax identification number of the taxpayer and the persons or entities involved in the operation.

3. Detailed comparability analysis, in the terms described in Article 17 of this Regulation.

4. Explanation concerning the selection of the method of assessment chosen, including a description of the reasons justifying the choice of the method, as well as its form of application, the comparable obtained and the specification of the value or range of values derived from it.

5. Where appropriate, criteria for the allocation of costs for services provided jointly in favour of a number of persons or related entities, as well as the corresponding agreements, if any, and cost sharing agreements referred to in Article 18 of this Regulation.

6. º Copy of the current valuation agreements in force and any other decisions with any tax authority that are related to the related operations noted above.

7. º Any other relevant information that the taxpayer has disposed of to determine the valuation of its related operations.

c) Taxpayer's economic-financial information:

1. Annual financial statements of the taxpayer.

2. The reconciliation between the data used to apply the methods of transfer pricing and the annual financial statements, where appropriate and relevant.

3. The financial data of the comparable used and source of the source.

2. If, in order to determine the market value, other generally accepted valuation methods and techniques other than those referred to in points (a) to (e) of Article 18.4 of the Tax Act are used, as may be the method of discount flows The estimated future cash will be described in detail in the specific method or technique chosen, as well as the reasons for their choice.

In particular, the quantities, percentages, ratios, interest rates, discount rates and other variables on which the methods and techniques are based shall be described and the reasonableness and consistency of the assumptions shall be justified. assumed by reference to historical data, business plans or any other element deemed essential for the correct determination of the value and its suitability for the principle of free competition.

The use of observable market data should be maximized, which should be accredited, and the use of subjective and non-observable or non-observable data should be limited as far as possible.

The documentation to be kept at the disposal of the tax administration shall comprise the reports, documents and information media necessary for the verification of the correct application of the valuation method and the the resulting market value.

3. The documentary obligations referred to in paragraph 1 above shall relate to the tax period in which the taxpayer has carried out the related operation.

When the documentation prepared for a tax period continues to be valid in subsequent years, the preparation of new documentation will not be necessary, without prejudice to any adaptations to be made. required.

4. In the case of persons or related entities whose net amount of the turnover, as defined in the terms of Article 101 of the Tax Act, is less than EUR 45 million, the specific documentation shall be The following simplified content:

a) Description of the nature, characteristics, and amount of the related operations.

(b) Name and surname or full name or name, tax address and tax identification number of the taxpayer and the persons or entities involved in the operation.

c) Identification of the valuation method used.

d) Comparables obtained and value or ranges of values derived from the valuation method used.

In the case of persons or entities meeting the requirements set out in Article 101 of the Tax Act, this specific documentation may be understood to be completed through the standard document drawn up by the Order of the Minister of Finance and Public Administrations. Such entities shall not provide the comparable referred to in point (d) above.

5. The simplified content of the specific documentation referred to in the preceding paragraph shall not apply to the following operations:

(a) Those made by taxpayers of the Income Tax of the Physical Persons, in the development of an economic activity, to which the method of objective estimation is applied with entities in which those or their spouses, ascendants or descendants, individually or jointly among all of them, have a percentage equal to or greater than 25% of the share capital or equity capital.

b) Business transmission operations.

(c) the transmission of securities or shares representing the equity of equity of any type of entity not admitted to trading on any of the regulated securities markets; or are admitted to trading on regulated markets located in countries or territories qualified as tax havens.

d) The real estate transmission operations.

e) Operations on intangible assets.

However, in the case of entities referred to in Article 101 of the Tax Act or natural persons, and in the case of transactions carried out with persons or entities resident in countries or territories considered to be Tax havens, specific documentation obligations should not incorporate the comparability analysis referred to in Article 17 of this Regulation.

6. For the purposes of Article 18.13 of the Tax Act, the information referred to in point (a), number 1, number 1, number 1, number 1, number 1, number 1, and number 3, number 3, 4. and 7. of point (b) shall be different data sets, the numbers 1. 3. of paragraph 1 (c) and the information referred to in paragraph 2 of this Article. For the same purposes, each of the information referred to in points 1, 2, 5, 5 and 6. of paragraph 1 (b) of this Article and points (a), (b), (c) and (d) of paragraph 4 of this Article shall be taken into account.

CHAPTER VI

Related Operations Check Rules and Procedure

Section 1. Determination of the market value of the related transactions. Specific rules

Article 17. Determination of the market value of related transactions: comparability analysis.

1. For the purposes of determining the market value which would have been agreed by persons or independent entities under conditions which respect the principle of free competition as referred to in Article 18 (1) of the Tax Act, they shall be compared the circumstances of transactions linked to the circumstances of transactions between persons or independent entities which may be comparable.

To do this, the relationships between the persons or entities involved and the conditions of the operations to be compared with regard to the nature of the operations and the conduct of the parties shall be taken into account.

2. To determine whether two or more transactions are comparable, they shall be taken into account, to the extent that they are relevant and that the taxpayer has been able to reasonably have information about them, the following circumstances:

(a) The specific characteristics of the goods or services that are the subject of the related operations.

(b) The functions assumed by the parties in relation to the transactions subject to analysis, identifying the risks assumed and, where appropriate, weighting the assets used.

(c) The contractual terms for which, where applicable, transactions are derived taking into account the liabilities, risks and benefits assumed by each contracting party.

(d) Economic circumstances that may affect operations linked, in particular, to the characteristics of the markets in which the goods are delivered or services are provided.

e) Business strategies.

Also, for the purposes of determining the market value that would have been agreed by persons or independent entities under conditions that respect the principle of free competition, any other market value should also be taken into account the fact that it is relevant and on which the taxpayer has reasonably been able to have information, such as the existence of losses, the impact of the decisions of the public authorities, the existence of savings of location, of integrated groups of workers or of synergies.

In any case, the internal or external comparison elements to be taken into consideration must be indicated.

3. Where the related transactions carried out by the taxpayer are closely linked to each other, they have been carried out on a continuous basis or affect a very similar set of products or services, in such a way that their independent valuation it is not appropriate, the comparability analysis referred to in the preceding paragraph shall be carried out taking into account all such operations.

4. Two or more transactions are comparable where there are no significant differences between them in the circumstances referred to in paragraph 2 above which affect the price of the good or service or the margin of the transaction, or where existing differences, they can be removed by making the necessary comparability adjustments.

5. The comparability analysis provided for in this Article is part of the documentation referred to in Article 16 of this Regulation and shall complete the obligation laid down in Article 16 (1) (b) of that Article.

6. The degree of comparability, the nature of the operation and the information on comparable transactions are the main factors which will determine, in each case, in accordance with the provisions of Article 18 (4) of the Law of the Tax, the most appropriate valuation method.

7. Where, in spite of insufficient data, a range of values which reasonably meets the principle of free competition has been determined, taking into account the process of selection of comparable and the limitations of the information available, statistical measures may be used to minimise the risk of error caused by defects in comparability.

Article 18. Requirements of the cost sharing arrangements subscribed between persons or related entities.

For the purposes of Article 18 (7) of the Tax Act, the cost sharing arrangements for goods and services subscribed by the taxpayer shall include the identification of other persons or participating entities, in accordance with the terms of Article 16 (1) (a) of this Regulation, the scope of the specific activities and projects covered by the agreements, their duration, criteria for quantifying the distribution of the the expected benefits among members, the way in which their respective contributions are calculated; specification of the tasks and responsibilities of the members, consequences of the accession or withdrawal of the members as well as any other provision which provides for the adaptation of the terms of the agreement to reflect a change in the economic circumstances.

Section 2.

Article 19. Verification of the related operations.

1. Where the verification of the related operations is not the sole purpose of the regularisation to be carried out in the inspection procedure in which it is carried out, the settlement proposal resulting therefrom shall be documented in a act other than those to be formalised by the other elements of the tax obligation. This act shall justify the regularisation resulting from the application of Article 18 of the Tax Law. The liquidation resulting from this act shall be provisional in accordance with the provisions of Article 101.4.b of Law 58/2003 of 17 December, General Tax.

2. If the taxpayer makes an appeal or complaint against the provisional liquidation carried out as a result of the regularisation practised, the winding-up and the existence of the review procedure shall be notified to the other persons or entities. the parties concerned to the object that they can be personified in the proceedings, in accordance with the provisions of Articles 223.3 and 232.3 of Law 58/2003.

After the appropriate time-limits without the taxpayer having brought an action or complaint, the provisional liquidation shall be notified to the other affected persons or entities concerned so that they are they may wish to jointly choose to bring the appropriate economic-administrative replacement or reclamation facility.

3. Once the settlement has been settled by the taxpayer, the tax authorities shall regularise the tax situation of the other persons or entities involved, unless they have already made such a decision. regularisation with prior character. The regularisation shall be carried out by the practice of a settlement or, where appropriate, a reverse charge or a settlement arising from an application for the correction of the reverse charge in respect of the last tax period. declaration and entry would have been completed by the time such firmness takes place. In the case of taxes where there is no tax period, such regularisation shall be carried out by the practice of a settlement corresponding to the time when the liquidation or, where appropriate, a self-settlement is established or of a settlement arising from a request for the rectification of the self-settlement to the taxpayer.

In the case of taxes in which there are tax periods, this regularisation should include all those affected by the correction carried out by the tax administration, which is derived from the verification of the related operation.

The regularisation shall include, where appropriate, the corresponding interest on late payment calculated from the end of the period laid down for the submission of the self-settlement of each of the tax periods in which the the related transaction has had an effect or, if the regularisation resulted in a return and the self-clearance was submitted out of time from the date of the extemporaneous presentation of the reverse charge.

Interest shall be calculated up to the date on which the liquidation or, where applicable, the self-settlement is practised, corresponding to the tax period in which the adjustment of such an operation is effective against other persons or entities related, in accordance with the provisions of Article 18.12.3. of the Tax Act and the first paragraph of this paragraph.

The adjustment made by the tax administration should be taken into account by the taxpayers in the statements that are made after the settlement is firm, when the related transaction produces effects in the the same.

For the practice of the previous settlement, the inspection bodies may exercise the powers provided for in Article 142 of Law 58/2003, and perform the actions of obtaining information that they deem necessary.

Affected persons or entities who can invoke a treaty or convention that has become part of the internal order may go to the friendly procedure or the arbitration procedure to eliminate the possible double the imposition generated by the correction, in accordance with the provisions of Article 18 (12) of the Tax Law.

Section 3. Heritage Restitution

Article 20. Equity return arising from differences between the agreed value and the market value of the related transactions.

1. For transactions in which the agreed value is different from the market value, the difference between the two securities shall have for the persons or entities related to the tax treatment corresponding to the nature of the income manifest as a consequence of the existence of such a difference, in accordance with the provisions of Article 18.11 of the Tax Act.

2. The provisions of the preceding paragraph shall not apply where the return of the assets to the persons or entities involved is appropriate. To this end, the taxpayer shall justify such a refund before the settlement is issued which includes the application of the above.

CHAPTER VII

Previous operations valuation agreements between people or linked entities

Section 1. Previous Operations Assessment Agreements between Persons or Linked Entities

Article 21. Previous performances.

1. A person or a related entity intending to ask the tax authorities to determine the market value of the transactions carried out between them, under conditions which respect the principle of free competition, may present a prior request, the content of which shall be as follows:

a) Identification of the persons or entities to perform the operations.

b) The succinct description of the operations that are the object of the same.

c) Basic elements of the assessment proposal to be formulated.

2. The tax administration shall analyse the prior request, and may request the relevant clarifications from the interested parties and inform the interested parties of the feasibility or otherwise of the prior assessment agreement.

Article 22. Start of the procedure.

1. A person or a related entity may request the tax administration to provide a prior agreement for the valuation of transactions between persons or entities related to the conduct of such transactions, without prejudice to the provisions of this Regulation. Article 25.8 of this Regulation.

Such an application may include the determination of the market value of the estimated income from transactions made by a taxpayer with a permanent establishment abroad, in those cases in which it is set out in a convention to avoid international double taxation resulting from it.

The application will be accompanied by a proposal that will be based on the principle of free competition, and will contain a description of the method and the analysis followed to determine the market value.

The application must be subscribed by the applicant persons or entities, who must prove to the Administration that the other persons or entities involved in the transactions whose valuation is requested know and accept the assessment request.

2. The application shall be accompanied by the documentation referred to in Articles 15 and 16 of this Regulation as soon as it is applicable to the assessment proposal and shall be adapted to the circumstances of the case.

Article 23. Scheme of the documentation submitted.

1. The documentation submitted shall have effects only in relation to the procedure laid down in this Chapter and shall be used exclusively for the procedure.

2. The provisions of the foregoing Articles shall not exempt taxpayers from the obligations incumbent upon them in accordance with Article 29 of Law 58/2003 of 17 December 2003, General Tax, or otherwise, as soon as the compliance with them could affect the documentation referred to in Article 21 of this Regulation.

3. In cases of withdrawal, revocation or dismissal of the proposal will proceed to the return of the documentation provided.

Article 24. Processing.

The tax administration will examine the proposal along with the submitted documentation. For this purpose, it may require the taxpayers to have any data, reports, background and supporting documents related to the proposal, as well as additional explanations or clarifications.

Article 25. Termination and effects of the agreement.

1. The resolution terminating the procedure may:

a) Approve the assessment proposal submitted by the taxpayer

b) Approve, with the acceptance of the taxpayer, an assessment proposal that differs from the one initially presented.

c) Unestimate the proposed valuation by the taxpayer.

2. The prior assessment agreement shall be formalised in a document which shall include at least:

a) Place and date of its formalization.

b) First and last name or social reason or full name and tax identification number of the contributors to whom the proposal relates.

c) Conformity of the contributors to the content of the agreement.

d) Description of the operations referred to in the proposal.

e) Essential elements of the valuation method and value or range of values that are derived from it.

(f) Tax or settlement periods to which the agreement and date of entry into force of the agreement shall apply.

g) Critical assumptions whose occurrence conditions the applicability of the agreement in terms of such agreement.

3. The rejection of the valuation proposal will include, together with the identification of the taxpayers, the reasons why the tax administration dismisses the proposal.

4. The procedure must be completed within 6 months. After that period has not been notified, the proposal may be deemed to be rejected.

5. The tax administration and the taxpayers will have to apply what is found in the approved proposal.

6. The tax administration may verify that the facts and operations described in the approved proposal correspond to the actual actions and that the approved proposal has been correctly applied.

When of the verification I will find that the facts and operations described in the approved proposal do not correspond with the reality, or that the approved proposal has not been correctly applied, the Inspection of the proceed to regularise the tax situation of taxpayers.

7. The withdrawal of any of the contributors will determine the termination of the procedure.

8. The agreement shall have effect on the operations carried out after the date on which it is approved, and shall be valid for the duration of the tax periods specified in the agreement itself, without exceeding the 4 tax periods. following the current date of approval of the agreement.

In addition, it may be determined that its effects will reach the operations carried out in previous tax periods, provided that the right of the Administration to determine the tax liability by means of the timely settlement and no firm settlement that falls on the operations to be applied for.

Article 26. Resources.

The resolution terminating the proceedings or the alleged disestimatory act shall not be subject to appeal, without prejudice to the remedies and complaints that may be brought against the acts of liquidation that are in its day.

Article 27. Competent bodies.

It will be competent to instruct, resolve and, in the event of modification of the agreement, to initiate the procedure the organ of the State Agency of Tax Administration that corresponds according to its norms of organic structure.

Article 28. Information on the implementation of the agreement for the assessment of transactions carried out with related persons or entities.

Jointly with the statement of the Corporate Tax, the Income Tax of the Physical Persons or the Income Tax of Non-Residents, the taxpayers will submit a letter concerning the application of the Prior approval of an approved assessment, the content of which shall include the following information:

(a) Transactions made in the tax or settlement period to which the statement to which the prior agreement has been applied relates.

(b) Prices or values to which previous transactions have been made as a result of the implementation of the prior agreement.

(c) Description, if any, of significant changes in the economic circumstances existing at the time of the approval of the prior valuation agreement.

(d) transactions carried out in the tax or settlement period similar to those referred to in the previous agreement, prices for which they have been made and a description of the existing differences in respect of the transactions falling within the scope of the prior agreement.

e) Aquella to be determined in the agreement itself.

However, in agreements signed with other administrations, the documentation to be submitted by the taxpayer annually will be the one derived from the agreement itself.

Article 29. Modification of the prior assessment agreement.

1. In the event of a significant change in the economic or technological circumstances existing at the time of the approval of the prior assessment agreement, it may be amended to bring it into line with the new economic circumstances. The amendment procedure may be initiated either on its own initiative or at the request of the taxpayer.

2. The request for amendment must be signed by the applicant's persons or entities, who must prove to the Administration that the other persons or entities involved in the transactions whose valuation is requested, know and accept the modification request, and must contain the following information:

a) Justification of significant variation of economic circumstances.

b) Amendment which, in the light of that variation, is appropriate.

The withdrawal of any of the affected persons or entities will determine the termination of the modification procedure.

The tax administration, once the documentation submitted, and after hearing the taxpayers, who will have the effect of a 15-day period, will dictate a reasoned resolution, which may:

1. Approve the modification formulated by the taxpayer.

2. º Approve, with the acceptance of the taxpayer, an assessment proposal that differs from the one initially presented.

3. Deestimate the modification made by the taxpayer, confirming or leaving the previously approved valuation agreement without effect.

3. Where the amendment procedure has been initiated by the tax administration, the content of the proposal shall be notified to the taxpayer who shall have a period of one month from the day following that of the notification of the proposal for:

a) Accept the modification.

b) Formulate an alternative modification, duly justified.

c) Reject the modification, expressing the reasons on which they are based.

The tax administration, once the documentation is examined, will dictate a reasoned resolution, which may:

1. Approve the modification, if the contributors have accepted it.

2. º Approve, with the acceptance of the contributors, an alternative modification.

3. Debut the agreement by which the initial valuation proposal was approved.

4. Declare the continuation of the application of the initial assessment proposal.

4. In the event of an agreement with another tax administration, the modification of the prior assessment agreement shall require the prior amendment of the agreement reached with that Administration. For this purpose, the procedure provided for in Article 31 et seq. of this Regulation shall be followed.

5. The procedure must be completed within 6 months. After that period has not been notified, the proposed amendment may be deemed to be rejected.

6. The decision terminating the amendment procedure or the alleged failure to act shall not be subject to appeal, without prejudice to the remedies and complaints which may be brought against the acts of liquidation which may be issued.

7. The approval of the amendment shall have the effects provided for in Article 25 of this Regulation in relation to the operations to be carried out after the request for amendment or, where appropriate, to the communication of a proposal for a modification.

8. The decision to leave without effect the initial assessment agreement shall determine the extinction of the effects provided for in Article 25 of this Regulation in relation to the operations to be carried out after the application for a modification or, where appropriate, the communication of the proposed modification.

9. The rejection of the modification by the contributors will determine:

(a) Confirmation of the effects provided for in Article 25 of this Regulation, where the significant variation of economic circumstances is not proven.

(b) The extinction of the effects provided for in Article 25 of this Regulation, in respect of the operations to be carried out after the request for amendment, in other cases.

Article 30. Extension of the prior assessment agreement.

1. Taxpayers may request the tax administration to extend the validity of the valuation agreement that would have been approved. Such application must be submitted before the end of the six months preceding the end of the validity period and shall be accompanied by the documentation which it considers appropriate to justify the circumstances laid down in the application. original have not varied.

2. The request for the extension of the prior assessment agreement shall be signed by the persons or entities that signed the prior agreement whose extension is requested, and must prove to the Administration that the other persons or entities linked to the operations they know and accept the request for an extension.

3. The tax administration shall have a period of six months to examine the documentation referred to in paragraph 1 above, and to notify the taxpayer of the extension or not of the period of validity of the prior assessment agreement. For such purposes, the Administration may request any additional information and documentation.

4. After the period referred to in the previous paragraph has not been notified of the extension of the period of validity of the prior assessment agreement, the application may be deemed to be rejected.

5. The resolution to which the extension of the agreement is agreed or the alleged disestimatory act shall not be subject to appeal, without prejudice to the remedies and complaints which may be brought against the acts of liquidation which may be issued.

Section 2. Previous Agreements for the valuation of transactions linked to other tax administrations

Article 31. Procedure for the agreement on transactions linked to other tax administrations.

The procedure for concluding agreements with other tax administrations shall be governed by the rules laid down in this Chapter with the specialities set out in Articles 32 to 36 of this Regulation.

Article 32. Start of the procedure.

1. In the event that the taxpayer requests that the proposal be submitted to the consideration of other tax administrations of the country or territory in which the persons or entities are resident, the tax administration value the provenance of initiating such a procedure. The dismissal of the initiation of proceedings shall be reasoned and shall not be contested.

2. Where the tax administration in the course of a preliminary assessment procedure considers it appropriate to refer the matter to other tax administrations which may be affected, it shall be brought to the attention of the related persons or entities. The acceptance by the taxpayer will be a prerequisite to the communication to the other Administration.

3. The taxpayer shall submit the application for initiation accompanied by the documentation provided for in Article 22 of this Regulation.

Article 33. Processing.

1. In the course of relations with other tax administrations, the persons or entities involved shall be obliged to provide as much data, reports, background and supporting documents as related to the proposed valuation.

Contributors will be able to participate in the actions aimed at implementing the agreement, when the representatives of both tax administrations agree.

2. The proposed agreement of the tax administrations will be brought to the attention of the interested subjects, whose acceptance will be a prerequisite to the signature of the agreement between the administrations involved.

Opposition to the proposed agreement will determine the dismissal of the valuation proposal.

Article 34. Resolution.

In the event of acceptance of the proposed agreement, the competent body will sign the agreement with the other tax administrations, giving a copy of the agreement to the interested parties.

Article 35. Competent bodies.

You will be competent to initiate, report, instruct the procedure, establish the relevant relations with the Administrations referred to in the previous article, resolve the procedure and subscribe to the other Tax administration the body of the State Tax Administration Agency that corresponds according to its rules of organic structure.

Article 36. Request for other tax administration.

When another tax administration requests the tax administration to initiate a procedure to subscribe to an agreement for the valuation of transactions between persons or entities involved observe the rules provided for in the previous articles as soon as they are applicable.

CHAPTER VIII

Documentation of transactions with non-connected persons or entities resident in tax havens

Article 37. Documentation of transactions with persons or entities not related to resident in tax havens.

For the purposes of Article 19.2 of the Tax Law, those who conduct transactions with persons or entities resident in countries or territories considered as tax havens shall be obliged to maintain provision of the tax administration for the specific documentation provided for in Chapter V of Title I of this Regulation, with the following specialties:

(a) It shall not apply as set out in point (d) of Article 13.3 of this Regulation.

(b) the documentation relating to all transactions carried out with related persons or entities residing in a country or territory qualified as a tax haven shall be maintained except that they reside in a Member State of the European Union or Member States of the European Economic Area with which there is an effective exchange of information in tax matters within the terms provided for in paragraph 4 of the first provision of Law 36/2006, of 29 This is the case in the case of the Commission, which is not a Member State. operations are valid for economic reasons and that these persons or entities carry out economic activities.

(c) The documentation referred to in Article 16.1 (a) of this Regulation shall, in addition, include in the case of operations carried out with persons or entities resident in countries or territories considered to be tax havens, the identification of persons who, on behalf of those persons or entities, have intervened in the operation and, in the case of transactions with entities, the identification of the administrators of those entities.

For the purposes of Article 18.13 of the Tax Law, each person and administrator referred to in this letter shall be considered for data.

(d) to transactions with persons or entities resident in countries or territories considered as tax havens, which do not have the consideration of persons or entities related to the terms set out in Article 18 of The Tax Law shall not require the specific documentation of the taxpayer provided for in Article 16 of this Regulation with respect to international goods services and purchases, including mediation commissions, as such. as ancillary and related expenses, where the following requirements are met:

1. º that the taxpayer proves that the conduct of the operation through a country or territory considered as a tax haven responds to the existence of valid economic motives

2. º that the taxpayer performs comparable transactions with persons or entities not related that do not reside in countries or territories considered as tax havens and credit that the agreed value of the transaction is corresponds to the value agreed upon in such comparable transactions, after the necessary corrections have been made, where appropriate.

CHAPTER IX

Previous assessment of expenditure related to scientific research or technological innovation projects

Article 38. Prior assessment of expenditure related to scientific research or technological innovation projects.

1. Persons or entities which have the purpose of carrying out scientific research or technological innovation activities may request the tax administration to evaluate the activities, in accordance with the rules of the Corporate Tax and, with prior and binding nature of the expenditure relating to those activities which they consider to be susceptible to the deduction referred to in Article 35 of the Tax Act.

2. The application must be submitted in writing before the corresponding costs are incurred and shall contain at least the following:

a) Identification of the requesting person or entity.

(b) Identification and description of the scientific research or technological innovation project referred to in the application, indicating the specific activities to be carried out, the expenditure incurred for the purpose of the execution of the same and the period of time in which such activities will be carried out.

c) Proposal for an assessment of the costs to be incurred, expressing the rule of valuation applied and the economic circumstances that have been taken into consideration.

3. The tax administration shall examine the documentation referred to in the previous paragraph, and may require the applicant to have any data, reports, background and supporting documents related to the application. Both the tax authorities and the applicant may request or provide expert reports on the content of the assessment proposal. They may also propose the practice of tests which they understand relevant by any of the means admitted to law.

4. Once the procedure has been instructed and before the draft resolution is drafted, the tax administration will make it clear to the applicant, together with the content and conclusions of the tests and the reports. requested, in order to be able to make the allegations and to present the documents and supporting documents which it considers relevant within 15 days.

5. The resolution terminating the procedure may:

a) Approve the proposal initially formulated by the taxpayer.

b) Approve, with the taxpayer's acceptance, another valuation proposal that differs from the one initially presented

c) Unestimate the proposal made by the taxpayer.

6. The decision shall be reasoned and, if it is approved, shall contain at least:

a) Place and date of its formalization

b) Name and surname or full name or name and tax identification number of the taxpayer.

c) Conformity of the taxpayer with the valuation performed.

d) Description of the operation referred to in the proposal.

(e) valuation carried out by the tax administration in accordance with the rules of the corporate tax, with an indication of the expenditure and the specific activities to which it relates, as well as of the valuation method used, with an indication of its essential elements.

f) Term of validity of the valuation and date of its entry into force.

7. The procedure must be completed within the maximum period of six months from the date on which the proposal has entered into any of the records of the competent administrative body or from the date of its Requirement of the tax administration. Failure to respond to the tax administration within the time limits indicated will imply acceptance of the values proposed by the taxpayer.

8. The decision to be taken shall not be used, without prejudice to the remedies and complaints which may be brought against the acts of liquidation which are carried out as a result of the application of the values laid down in the decision.

9. The tax administration should apply the valuation of the expenses resulting from the resolution during its term of validity, provided that the legislation is not modified or significantly changes the economic circumstances that have been based on the such an assessment.

10. The documentation provided by the applicant shall have effect only in relation to this procedure. The officials involved in the proceedings must keep strict secrecy and observe strict secrecy with regard to the documents and other information they know in the course of the procedure.

11. The competent body to report, instruct and resolve the procedure shall be the body of the State Tax Administration Agency that corresponds in accordance with its rules of organic structure.

CHAPTER X

Prior valuation or rating agreements and valuation of income from certain intangible assets

Article 39. Start of the procedure.

1. Persons or entities having the purpose of carrying out the operations eligible for the reduction in Article 23 of the Tax Law may ask the tax administration for a prior agreement on the valuation of the income from the disposal of the assets referred to in paragraph 1 of that Article and the expenses associated with them, as well as the income generated in the transmission, or a prior agreement on qualification and valuation which shall comprise: the rating of the assets as belonging to one of the categories referred to in the paragraph 1 of that Article, and the assessment of the revenue and expenditure associated with them, as well as the revenue generated in the transmission.

2. The application shall be submitted in writing, prior to the conduct of the operations giving rise to the application of the reduction of Article 23 of the Tax Act, and shall contain at least the following:

a) Identification of the requesting person or entity and of the transferee persons or entities.

b) Description of the asset that is intended to be transferred or transferred.

(c) Where appropriate, a description of the right of use or exploitation to be established and the duration of the operation.

(d) In the rating and valuation procedure, a reasoned rating of assets for the purposes of Article 23 of the Tax Act.

e) Proposal for the valuation of the income and expenses associated with the disposal of the asset, or of the income generated in its transmission with an indication of the acquisition and transmission value, expressing the method or criterion of the valuation applied and the economic circumstances that have been taken into consideration.

(f) Other data, elements and documents that may contribute to the formation of judgment by the tax administration.

3. The admission to the application of the application may be agreed on a reasoned basis where one of the following circumstances is present:

(a) The proposed valuation, or rating and valuation, which is intended to be clearly based on the basis for determining the value of the proceeds from the disposal of assets and expenses associates, or the income generated in the transmission, or the rating of the asset as fit.

b) That proposals for valuation, or rating and valuation, have been rejected, substantially equal to the proposal that is intended to be formulated.

4. The documentation submitted shall have effects only in relation to the procedure laid down in this Chapter and shall be used exclusively for the procedure.

5. The provisions of the foregoing paragraphs shall not exempt taxpayers from the obligations incumbent upon them in accordance with Article 29 of Law 58/2003 of 17 December 2003, General Tax, or otherwise.

6. In cases of withdrawal, filing, inadmission or dismissal of the proposal will proceed to the return of the documentation provided.

Article 40. Processing.

1. The tax administration will examine the application together with the documentation submitted. For these purposes, it may require the taxpayer at any time to have any data, reports, background and supporting documents related to the proposal, as well as additional explanations or clarifications.

2. In the procedure of the prior qualification and assessment agreement, the competent authority to instruct the General Tax Directorate, in relation to the rating of the assets for the purposes of the application of the the reduction of Article 23 of the Tax Law. In the event of a request, the General Tax Directorate may request non-binding opinion on the Ministry of Economy and Competitiveness.

The General Tax Directorate will evacuate the report, which will be communicated to the requesting body within the maximum period of 3 months. This period shall not be counted within the maximum period laid down in Article 41 (6) of this Regulation.

Article 41. Termination and effects of the agreement.

1. The resolution terminating the procedure of the prior assessment agreement may:

a) Approve the assessment proposal submitted by the taxpayer.

b) Approve, with the acceptance of the taxpayer, an assessment proposal that differs from the one initially presented.

c) Unestimate the proposed valuation by the taxpayer.

2. The resolution terminating the procedure of the prior qualification and assessment agreement may:

(a) Qualify assets as unfit for the purposes of Article 23 of the Tax Act.

b) Qualify assets as fit and approve the valuation proposal initially formulated by the taxpayer.

c) Qualify assets as eligible and approve another alternative proposal, with taxpayer acceptance.

d) Qualify assets as fit and dismiss the taxpayer's proposed valuation.

3. The prior assessment, or rating and valuation agreement, shall be binding and shall be formalised in a document which shall include at least:

a) Place and date of its formalization.

b) Name and surname or full name or name and tax identification number of the taxpayer.

c) Conformity of the contributor to the content of the agreement.

d) Description of the operation to which the proposal refers.

e) In the case of the prior agreement of qualification and valuation, a motivated rating of assets for the purposes of Article 23 of the Tax Act.

(f) A valuation arising out of the agreement, indicating the essential elements of the valuation method used, as well as the economic circumstances to be understood as basic in order to be applied.

g) Term of validity of the agreement and date of entry into force of the agreement.

4. The rejection of the valuation or rating and valuation proposal shall include, together with the identification of the taxpayer, the reasons why the tax administration dismisses the proposal.

5. The withdrawal of the applicant shall determine the termination of the procedure.

6. The procedure must be completed within a maximum of 6 months. After that period has not been notified, the proposal may be deemed to be rejected.

7. The tax administration and the taxpayer shall apply the assessment and, where appropriate, the rating, resulting from the decision, during its term of validity, provided that the economic circumstances do not vary significantly. This assessment was based on

8. The tax authorities will be able to verify that the facts and operations described in the approved proposal correspond to the ones actually made and that the approved proposal has been correctly applied. Where the verification results in the fact that the facts and operations described in the approved proposal do not correspond to the reality, or that the approved proposal has not been correctly applied, the Tax Inspectorate shall regularise the tax situation of taxpayers.

9. The decision terminating the proceedings or the alleged failure to act shall not be subject to appeal, without prejudice to the remedies and complaints which may be brought against the acts of liquidation which are on its agenda.

Article 42. Competent body.

It shall be competent to instruct, resolve and, in the case of modification of the agreement, to initiate, the procedure referred to in this chapter the organ of the State Agency of Tax Administration that corresponds according to its rules of organic structure.

Article 43. Modification of the prior valuation or rating and valuation agreement.

1. In the case of a significant change in the economic circumstances that have determined the valuation, existing at the time of the approval of the prior valuation agreement, or of a rating and valuation, this may be modified for adapt it to the new economic circumstances. The amendment procedure may be initiated either on its own initiative or at the request of the taxpayer.

2. The request for amendment shall be signed by the applicant person or entity and shall contain the following information:

a) Justification of significant variation of economic circumstances.

b) Modification of the valuation which, in the light of that variation, is appropriate.

The withdrawal of the requester will determine the termination of the procedure.

The tax administration may require taxpayers, at any time, for any data, reports, background and supporting documents relating to the proposal, as well as additional explanations or clarifications on the same.

The tax administration, after examining the documentation submitted, and after hearing the taxpayer, which will have the effect of a period of 15 days, will dictate a reasoned decision, which may:

1. Approve the assessment modification by the taxpayer.

2. º Approve, with the acceptance of the taxpayer, an assessment proposal that differs from the one initially presented.

3. Deestimate the modification made by the taxpayer, confirming or leaving without effect the proposed valuation initially approved. However, it shall not affect the rating of the assets, carried out in the prior rating and assessment agreement.

3. Where the amendment procedure has been initiated by the tax administration, the content of the proposal shall be notified to the taxpayer which shall have a period of one month from the day following that of the notification of the proposal, for:

a) Accept the modification.

b) Formulate an alternative modification, duly justified.

c) Reject the modification, expressing the reasons on which they are based.

The tax administration, once the documentation is examined, will dictate a reasoned resolution, which may:

1. Approve the modification, if the contributor has accepted it.

2. º Approve the alternative modification formulated by the taxpayer.

3. No effect of the agreement by which the initial valuation proposal was approved, without affecting the rating of the assets in the event of a prior qualification and initial valuation agreement.

4. Declare the continuation of the application of the initial assessment proposal.

4. The procedure must be completed within 6 months. After that period has not been notified, the proposed amendment may be deemed to be rejected.

5. The resolution terminating the amendment procedure shall not be subject to recourse, without prejudice to the remedies and complaints which may be brought against the acts of liquidation which may be issued.

6. The approval of the amendment shall have the effects provided for in Article 41 of this Regulation, from the request for the amendment or, where appropriate, from the communication of the proposed amendment.

7. The decision to leave without effect the prior agreement of initial valuation, or of the initial assessment and valuation in relation to the valuation, shall determine, in respect of the valuation, the extinction of the effects provided for in Article 41 of the Regulation, from the request of the amendment or, where appropriate, from the communication of the proposed amendment.

8. The rejection of the modification by the taxpayer will determine:

(a) Confirmation of the effects provided for in Article 41 of this Regulation, where the significant variation of economic circumstances is not proven.

(b) The extinction of the effects provided for in Article 41 of this Regulation, since the dismissal.

Article 44. Extension of the prior assessment agreement or the prior assessment and rating agreement.

1. The taxpayer may request the tax administration to extend the period of validity of the valuation agreement, or of rating and valuation, which would have been approved. Such application shall be submitted before the end of the six months preceding the end of the validity period and shall be accompanied by the documentation which it considers appropriate to justify the circumstances laid down in the application. original have not varied.

2. The tax administration shall have a period of 6 months to examine the documentation referred to in paragraph 1 above, and to notify the taxpayer of the extension or not of the period of validity of the prior assessment agreement, or rating and rating. For such purposes, the Administration may request any additional information and documentation as well as the collaboration of the taxpayer.

3. After the period referred to in the previous paragraph has not been notified of the extension of the period of validity of the prior assessment, or rating and valuation agreement, the application may be deemed to be rejected.

4. The decision to agree to or refuse to extend the period or the alleged loss of custody shall not be subject to appeal, without prejudice to the remedies and complaints which may be brought against the acts of liquidation which may be issued.

TITLE II

Limits on aid resulting from the application of European Union law

Article 45. Limits on the accumulation of aid to the film sector.

In accordance with the provisions of Article 54.4 of Commission Regulation (EU) No 651/2014 of 17 June 2014 declaring certain categories of aid compatible with the internal market in the application of the Articles 107 and 108 of the Treaty, the deduction provided for in Article 36 (2) of the Tax Act shall apply, provided that the following limits are taken into account:

(a) The production that generates the right to the deduction must have a minimum cost of 2 million euros.

b) The basis of the deduction may not exceed 80 percent of the total cost of the production.

TITLE III

Rules for applying certain special regimes

CHAPTER I

Spanish and European economic interest groups, temporary joint ventures

Article 46. Obligations of economic, Spanish and European interest groups and temporary joint ventures.

1. Economic, Spanish and European interest groups, to which the special arrangements provided for in Chapter II of Title VII of the Tax Law are applied, shall, in conjunction with their declaration for such a tax, submit a the relationship of persons or entities holding the inherent rights or the quality of a member or a member undertaking on the last day of the tax period, with the following data:

(a) Identification, tax domicile and percentage of the participation of the partners or of the persons or entities that have the economic rights inherent in the quality of the partner.

(b) Total amount of the amounts to be charged to persons or entities holding the inherent rights or the quality of a member or a member company that are resident in Spanish territory or non-resident residents permanent in the same, relative to the following concepts:

1. Accounting Result.

2. No. Net financial expenses not deducted by the entity.

3. No Capitalization Reserve not applied by the entity.

4. The basis of the assessment, whether or not it is based on the amounts derived from the application of the levelling reserve.

5. Basis of deductions to avoid international double taxation and, where applicable, percentage of participation in the entity from which the income is derived.

6. Base of bonuses.

7. Basis of deductions to encourage the performance of certain activities, as well as, where appropriate, the basis of the deduction for investments in elements of the fixed new material.

8. º Retentions and income to account for the economic interest group.

c) Dividends and shares in distributed profits from reserves, distinguishing those that correspond to exercises in which the special scheme would not have been applicable to the institution.

2. Economic interest groups shall notify persons or entities which have the inherent economic rights or the quality of a member or a member undertaking the total amounts to be charged and the individual allocation made with the the concepts referred to in point (b) of the previous paragraph, as soon as they are attributable in accordance with the rules of this Tax or the Income Tax of the Physical Persons.

3. For the purposes of the non-taxation of dividends and shares in profits set out in the first subparagraph of Article 43 (3) of the Tax Act, the groups shall include in the accounts the annual accounts of the next information:

(a) Benefits applied to reserves that correspond to tax periods in which they were taxed on a general basis.

b) Benefits applied to reserves that correspond to tax periods in which they were taxed in the special scheme, distinguishing between those that corresponded to members resident in Spanish territory of those who corresponded to non-resident partners on Spanish territory.

(c) In the case of distribution of dividends and shares in profit from reserves, designation of the reserve applied from among the three to which, by the class of profits from which they come, the following points are referred to: (b) above.

4. The entries in the annual report referred to in the preceding paragraph shall be made as long as there are reserves of those referred to in point (b) of that paragraph, even if the institution does not contribute to the special scheme.

5. The reporting obligations set out in paragraphs 3 and 4 of this Article shall also be required in respect of successive entities holding the ownership of the reserves referred to in paragraph 3 (b).

6. The provisions of the preceding paragraphs of this Article, in so far as it is applicable, shall bind the temporary unions of undertakings subject to the special arrangements provided for in Chapter II of Title VII of the Tax Act, in relation to the with its member companies resident in Spanish territory on the last day of the tax period.

CHAPTER II

Fiscal Consolidation Regime

Article 47. Implementation and reporting obligations of entities covered by the tax consolidation regime.

1. The exercise of the option by the tax consolidation regime shall be communicated to the Delegation of the State Agency for Tax Administration of the tax domicile of the representative entity or to the Regional Inspection Offices or the Central Delegation of Large Contributors when the representative entity is attached to them.

The communication will contain the following data:

a) Identification of the entities that make up the tax group.

In the event that the dominant entity is non-resident in Spanish territory, the identification of the Spanish territory will be further required.

In the case of permanent establishments of non-resident entities in Spanish territory, the identification of the non-resident entity in Spanish territory to which those entities belong will be required, in addition.

b) a copy of the agreements by which the group's entities have opted for the tax consolidation regime and, in the event that the dominant entity is not resident in Spanish territory, a document in which the representative entity.

c) the ratio of the percentage of direct or indirect holding held by the parent entity to each and every entity in the tax group, percentage of voting rights held on them; and the date of acquisition of the respective units.

The representative entity shall demonstrate that all the requirements set out in Article 58 of the Tax Act are met.

2. The administrative bodies referred to in the preceding paragraph shall communicate to the representative entity the number of the tax group granted.

3. It shall be competent for the verification and investigation of the entities incorporated in the groups which are taxed in the tax consolidation regime by the body of the State Tax Administration Agency, which corresponds in accordance with its rules of procedure. organic structure.

CHAPTER III

Mergers, divisions, asset contributions, securities exchange and change of registered office of a European Company or a European Cooperative Company from one Member State to another of the European Union

Article 48. Communication of the special scheme.

1. The conduct of the operations covered by Chapter VII of Title VII of the Tax Law shall be the subject of communication to the Tax Administration.

The communication shall be made by the acquiring institution of the transactions, unless the entity is not resident in Spanish territory, in which case such communication shall be carried out by the transmitting entity.

However, in the case of transactions in which neither the acquiring institution nor the transmission entity is resident in Spanish territory, the communication shall be made by the partners of the transmitting entity, provided that they are residents in Spanish territory. Otherwise, the communication shall be made by the transmitting entity.

2. The communication shall be made within three months of the date of the entry of the public deed into which the operation is carried out.

If enrollment is not required, the deadline will be computed from the date the public deed or equivalent document corresponding to the operation is granted.

In the case of a change in the registered office, the communication must be made within three months of the date of registration of the new registered office of the Member State in the register of the Member State. public or equivalent document in which the operation is documented.

However, in the case of transactions in which neither the acquiring institution nor the transferring entity is resident in Spanish territory, the communication shall be made within the time limit laid down for the submission of the declarations or self-distribution to the partners of the transmitting entity, provided that they are resident in Spanish territory. Otherwise, the period provided for in the first subparagraph of this paragraph shall apply.

3. The communication shall be addressed to the Delegation of the State Agency for Tax Administration of the tax domicile of the entities, or permanent establishments in the case of non-resident entities, which, in accordance with the preceding paragraphs, are to be carried out, or to the Regional Inspection Offices or the Central Delegation of Large Contributors, in the case of taxpayers attached to them.

Article 49. Content of the communication.

Communication must contain:

a) Identification of participating entities in the operation and description of the operation.

b) A copy of the public write or equivalent document that corresponds to the operation.

(c) In the event that the transactions have been carried out by a public offering for the acquisition of shares, a copy of the relevant information leaflet must also be provided.

(d) Indication, where appropriate, of the non-application of the special tax regime of Chapter VII of Title VII of the Tax Act.

CHAPTER IV

Fiscal regime for certain finance lease contracts

Article 50. Leasing contracts.

1. The exercise of the option provided for in Article 106 (8) of the Tax Law shall be communicated to the General Tax Directorate of the Ministry of Finance and Public Administrations.

2. The communication of the option shall be made before the end of the tax period in which it is intended to have effects.

3. The communication shall contain at least the following data:

a) Identification of the asset object of the lease.

b) Indication of the effective start date and end of the asset construction period.

c) Determination of the amounts and the time at which the financial leasing contract fees are to be met.

d) Indication that the assets meet unique technical and design requirements and do not correspond to a serial production.

CHAPTER V

Foreign Securities Holding Entities ' Regime

Article 51. Communication of the option and the waiver in the regime of foreign securities holding entities.

1. The option for the regime of foreign securities holding entities shall be communicated to the tax administration.

2. The scheme shall apply to the tax period which ends after the communication and the successive ones which are concluded before the tax administration is notified of the waiver.

CHAPTER VI

Shipping entities ' regime based on tonnage

Article 52. Scope of application: operation of vessels.

1. They may opt for taxation under this scheme:

(a) Entities whose social object includes the exploitation of their own or leased vessels. The option shall be for all vessels, own or leased, to be operated by the applicant, as well as to those who are acquired or arriving at a later date.

(b) Entities that perform, in their entirety, the technical and crew management of ships. The option shall comprise all vessels managed by the applicant as well as those it manages at a later date.

In both cases, ships must comply with the requirements of Article 113 (2) of the Tax Act.

2. The option may be extended to all vessels on chartering by the applicant. Notwithstanding the above, the net tonnage of vessels taken in chartering shall not exceed 75% of the total tonnage of the fleet of the entity or, where appropriate, of the tax group applying the scheme, excluding vessels which are excluded from the scheme. cause the exceeding of that limit.

Article 53. Procedure for applying the scheme.

1. The application which, where appropriate, shall be related to the whole of the vessels operated, or for which the technical and crew management is carried out, by the entities of the same fiscal group which comply with the conditions laid down in the Previous Article shall be accompanied by the following documents:

a) The entity's statutes, or project of the entity if it has not yet been constituted.

(b) In respect of the entities already constituted, certificate of registration of the entity in the register of ships and shipping companies or in the special register of ships and shipping companies, and in respect of the unincorporated, project of constitution or application for registration in the said registers. This documentation shall not be required for entities carrying out, in their entirety, the technical and crew management of ships.

(c) Identification and description of the activities of the entities in respect of which the application of the scheme is requested.

(d) Accreditation, in respect of each vessel, of the title under which it is used or used, or the technical and crew management of the territorial area in which its management is carried out shall be carried out in its entirety. strategic and commercial, its flag-bearer and its exclusive affectation to the activities referred to in Article 113.2.b) of the Tax Law.

e) In the case of companies already incorporated, the last approved balance sheet of the entity.

(f) Accreditation or, in the case of non-incorporated entities, a forecast of the net book value and the market value of the vessels in which the circumstances provided for in the second subparagraph of Article 114 (2) are met. the Tax Law.

g) In the case of entities carrying out, in their entirety, the technical and crew management of ships, a demonstration document of compliance with the requirements of the CGS code, issued in the terms set out in the prescription 13.2 of the International Code of Management and for the Safety of the Exploitation of Ships and the Prevention of Pollution, adopted by the International Maritime Organization by Resolution A 741.

2. The application shall be submitted before the end of the tax period for which it is intended to have effect.

3. The competent authority for the instruction and resolution of this procedure shall be the General Tax Directorate, which may request from the taxpayer how much data, reports, background and supporting documents are necessary.

It may also obtain a report from the competent bodies to verify the existence of a contribution to the objectives of the Community's maritime transport policy, in particular as regards the technological level of transport. vessels ensuring safety in the navigation and prevention of pollution of the environment and the maintenance of Community employment both on board and in ancillary tasks to maritime transport, and in order to verify the activity carried out by the the entities that perform, in their entirety, the technical and crew management of ships. The application of the said report shall determine the interruption of the period of resolution referred to in paragraph 5 of this Article.

The taxpayer may, at any time in the proceedings before the hearing, present the allegations and provide the documents and supporting documents that it considers relevant.

4. Having instructed the procedure, and immediately before drafting the motion for a resolution, the taxpayer will be made clear, who will have a period of 15 days to make the allegations, as well as to present the documents and justifications that you deem appropriate.

5. The resolution terminating the proceedings shall be reasoned and may:

(a) Authorize the regime of shipping entities based on tonnage, determining the tax period from which it will take effect. The authorisation shall be granted for a period of 10 years.

b) Disestimate the granting of the regime of shipping entities based on tonnage.

The application shall be settled within three months from the date on which the application has been filed or from the date of its under-healing at the request of that body, which may be understood as denied.

6. The taxpayer may request extensions of the initial authorisation for additional periods of 10 years. Such request for an extension shall be submitted before the end of the tax period for which it is intended to have effect.

7. If, after the granting of an authorization, the taxpayer acquires, leases, takes on chartering or manages, in its entirety, other ships that comply with the requirements of the system, it must submit, in the terms set out in the a new application referred to them. The additional authorisation shall be granted for the temporary period of validity of the initial authorisation of the scheme.

Article 54. Waiver and non-compliance with the scheme.

1. The taxpayer may waive the application of the scheme. The waiver shall be submitted before the end of the tax period for which it is intended to have effect. No new application of the scheme may be requested during the five years following the previous date.

2. Failure to comply with the requirements laid down in this scheme shall mean the immediate loss of the right to apply it and shall determine the obligation to enter, in conjunction with the quota corresponding to the tax period in which the said non-compliance took place, the full quotas for all the financial years in which the scheme was applied, calculated in accordance with the general scheme of the tax, without prejudice to the interest on late payment, surcharges and penalties which, where appropriate, result. During the five years following the date of the start of the tax period in which the non-compliance took place, a new application of the scheme may not be requested.

CHAPTER VII

Political Parties

Article 55. Economic holdings of the Political Parties exempted from the Corporate Tax.

1. In order to benefit from the exemption provided for in Article 10 (d) (d) of Organic Law 8/2007 of 4 July 2007 on the financing of political parties, they shall make a request to the Agency's Tax Management Department. State of Tax Administration before the end of the tax period in which it has to take effect.

The requesting political party shall, in conjunction with the application, provide a simple copy of the articles of association and statutes, certificate of registration in the Register of Political Parties of the Ministry of Interior and, memory, in which it is explained and justifies that the economic holdings for which the exemption applies are in line with its own activity.

For these purposes, it is understood that economic holdings coincide with the political party's own activity when:

a) Contribute directly or indirectly to the achievement of their ends.

(b) Where the enjoyment of this exemption does not lead to distortions of competition in relation to undertakings performing the same activity.

c) To be provided in conditions of equality to generic collectivities of persons. This requirement shall be deemed not to be met if the promoters, affiliates, undertakings and members of their management and administrative bodies, as well as the spouses or relatives up to and including the fourth grade, are the main recipients of the activity or benefit from special conditions to use their services.

2. The body of the State Tax Administration Agency that corresponds in accordance with its rules of organic structure shall give a reasoned decision to the requested exemption. Such exemption shall be subject to the conditions and requirements laid down in Organic Law 8/2007 and in this Article at all times.

The exemption shall be deemed to be granted if the said body has not notified the decision within six months.

3. Once the exemption referred to in the preceding paragraphs has been granted, it shall not be necessary to reiterate its application for application to the following tax periods, unless the circumstances justifying its granting or the application are changed. applicable rules.

The political party must communicate to the body of the State Administration of Tax Administration that it corresponds according to its rules of organic structure any relevant modification of the conditions or requirements required for the application of the exemption. That body may, after hearing the political party for a period of 10 days, declare whether or not to continue the application of the exemption. Likewise, the tax authorities will be able to know by any means the modification of the conditions or the requirements for the application of the exemption.

4. Failure to comply with the conditions required for the application of this exemption shall determine the loss of the right to its application from the tax period itself in which such non-compliance occurs.

5. In order to facilitate the proper control of the economic and financial activity of political parties, the State Tax Administration Agency shall communicate to the Court of Auditors the requests for exemption and the result thereof.

Article 56. Accreditation for the purposes of exclusion from the obligation to retain or to take into account the exempt income received by political parties.

The accreditation of political parties for the purposes of the exclusion of the obligation to retain or to enter into account as referred to in Article 11., two of the Organic Law 8/2007, of 4 July, on the financing of the parties political, shall be carried out by certificate issued by the competent authority of the State Tax Administration Agency, which corresponds in accordance with its rules of organic structure, upon request to be accompanied by a copy of the certificate of registration in the Register of Political Parties of the Ministry of the Interior.

This certificate shall record its term of validity, which shall extend from the date of its issuance to the end of the applicant's current tax period.

TITLE III

Tax Management

CHAPTER I

Entity index, return, and collaboration obligations

Item 57.Index of Entities.

1. By means of the census of Employers, Professionals and Reholders referred to in Article 9 of the General Rules of Procedure and the procedure for the management and inspection of taxes and the development of the common rules of procedure Application of the taxes, approved by Royal Decree 1065/2007, of July 27, will take in each of the delegations the index of entities referred to in article 118 of the Law of the Tax.

2. The censals and applications for lower rates of the rate of the contributors attached to the Regional Inspection Dependencies and the Central Delegation of Large Contributors will be directed, in the first case, to the Special Delegations corresponding to their tax domicile and in the second to the Central Delegation.

3. Where an interim leave agreement has been reached as a result of the provisions of Article 119 (1) (b) of the Tax Act and subsequently the institution shall submit the declarations omitted, the competent body of the The State Agency of the Tax Administration will agree to the rehabilitation of the registration in the index and will forward the agreement to the Public Registry in which the corresponding marginal note for the cancellation of the same would have been extended.

Article 58. Return.

The returns referred to in Article 127 of the Tax Law will be made by bank transfer. The Minister of Finance and Public Administrations may authorise the return by cross-check when the circumstances justifying it are met.

Article 59. External collaboration in the presentation and management of declarations.

1. The tax administration will be able to make effective the social collaboration in the presentation of declarations for this Tax through agreements with the Autonomous Communities and other Public Administrations, with entities, institutions and bodies representative of social, labour, business or professional sectors or interests.

2. The agreements referred to in the preceding paragraph may cover, inter alia, the following:

a) Information and broadcast campaigns.

b) Assistance in making statements and in their correct and truthful fulfillment.

c) Issuance of statements to the tax administration.

d) Subhealing of defects, subject to the authorization of the contributors.

e) Information about the status of the returns, subject to the authorization of the contributors.

3. The tax administration shall provide the necessary technical assistance for the development of the indicated actions, without prejudice to the provision of such services in general to the taxpayer.

4. The Order of the Minister of Finance and Public Administrations shall lay down the conditions and conditions under which the entities which have signed the said agreements may submit by telematic means declarations, statements-settlements or any other documents required by the tax law, representing third parties.

This Order may also provide for other persons or entities to access such a system of presentation by telematic means on behalf of third parties.

CHAPTER II

Obligation to retain and enter into account

Article 60. Income subject to withholding or income on account.

1. Withholding tax shall be carried out in respect of the Company Tax on the recipient in respect of:

(a) The income derived from the participation in own funds of any kind of entity, the transfer to third parties of own capital and the other income provided for in Article 25 of Law 35/2006 of 28 November 2001, Tax on the Income of the Physical Persons and the partial modification of the laws of the Taxes on Societies, on the Income of Non-Residents and on the Heritage.

(b) prizes resulting from participation in games, contests, raffles or random combinations, whether or not they are linked to the supply, promotion or sale of certain goods, products or services.

(c) The consideration given to the attribution of charges of administrator or counsellor in other companies.

(d) Income from the transfer of the right to the exploitation of the image or the consent or authorisation for use, even if they constitute income derived from economic holdings.

(e) Income from the lease or sub-lease of urban buildings, even if they constitute income derived from economic holdings.

(f) Income obtained as a result of transmissions or repayments of shares or shares representing the capital or equity of collective investment institutions.

g) The income obtained as a result of the reduction of capital with return of contributions and the distribution of the emission premium made by variable capital investment companies regulated in the Law of Collective investment institutions not subject to the general rate of charge or collective investment undertakings equivalent to variable capital companies registered in another State, irrespective of any limitation they have in respect of of restricted groups of investments, in the acquisition, disposal or redemption of their shares, as for companies covered by Directive 2009 /65/EC of the European Parliament and of the Council of 13 July 2009 on the coordination of laws, regulations and administrative provisions relating to certain investment undertakings collective in transferable securities.

2. Where the same contract includes services or the transfer of immovable property, together with the transfer of goods and rights to the goods and services referred to in Article 25 (4) of Law 35/2006, the same contract shall be applied for total amount.

When the same contract includes the lease, sublease or assignment of rustic estates, together with other movable property, the retention shall not be practiced except in the case of the lease or assignment of business or mines.

3. An income from the Company Tax corresponding to the recipient shall be made in respect of the income of the preceding paragraphs, when they are satisfied or paid in kind.

Article 61. Exceptions to the obligation to retain and to enter into account.

There shall be no obligation to retain or to enter into account with respect to:

(a) The income of the securities issued by the Banco de España which constitute a regulatory instrument for intervention in the money market and the returns of the Treasury bills.

However, credit institutions and other financial institutions that formalise with their clients contracts of accounts based on Treasury bills, will be required to retain their returns on returns. obtained by the holders of those accounts.

(b) Interest constituting the right to the Treasury as a consideration of the State's loans to the official credit.

(c) The interest and commission of loans constituting the income of credit institutions and credit institutions registered in the special registers of the Banco de España, resident in Spanish territory.

The above exception shall not apply to the interest and income of bonds, bonds or other securities issued by public or private entities, domestic or foreign, which make up the securities portfolio of those securities. entities.

(d) The interest of the loan, credit or advance operations, both active and passive, to be carried out by the State Company of Industrial Participations with companies in which it has a majority stake in the capital, This derogation may be extended to the interests of the same or similar securities, bonds, bonds or other similar securities.

(e) Interest received by securities companies as a result of loans granted in connection with the purchase or sale of securities referred to in Article 63.2 (b) of Law 24/1988 of 28 July 1988, of the Securities Market, as well as the interest received by investment firms in respect of the active operations of loans or deposits referred to in Article 49 (2) of Royal Decree 217/2008 of 15 February 2008, on the legal status of investment firms and other entities providing them investment services and by which the Regulation of Law 35/2003, of 4 November, of Collective Investment Institutions, approved by Royal Decree 1309/2005 of 4 November 2005, is partially amended.

There shall also be no obligation to practise retention in relation to the interest received by securities companies or agencies, in consideration of the guarantees formed to operate as members of the futures and trading markets. financial options, in the terms referred to in Chapters IV and V of Royal Decree 1282/2010 of 15 October 2010 governing the official secondary markets for futures, options and other derivative financial instruments.

f) Conversion premiums on shares.

(g) The income derived from the distribution of the premium for shares or units made by entities other than those referred to in Article 60 (1) (g) of this Regulation.

(h) The profits received by a parent company resident in Spain of its subsidiary companies resident in other Member States of the European Union, in relation to the retention provided for in Article 62 (2) of the this Regulation, where the requirements laid down in Article 14 (1) (h) of the recast text of the Non-Resident Income Tax Act, approved by Royal Decree-Law 5/2004 of 5 March 2004, are met.

i) Yields from the lease and sublease of urban real estate in the following assumptions:

1. º When it comes to home leases by companies for their employees.

2. When the rent satisfied by the tenant to the same landlord does not exceed 900 euros per year.

3. When the activity of the lessor is classified in one of the headings of group 861 of the first section of the rates of the Tax on Economic Activities, approved by the Royal Legislative Decree 1175/1990, of 28 in September, or in any other heading which empowers the activity of leasing or subleasing of urban real estate, and applying to the cadastral value of the buildings for the lease or sublease the rules for determine the quota set in the headings of the said group 861, would not have resulted in quota zero.

For these purposes, the lessor must accredit to the tenant the fulfilment of the said requirement, in the terms established by the Minister of Finance and Public Administrations.

4. When the yields derive from the leasing contracts referred to in Article 106 of the Tax Law, as soon as they are intended for the purpose of urban real estate.

(j) Yields that are payable between a Spanish or European economic interest group and its partners, as well as those that are payable between a temporary union and its member companies.

k) The returns on mortgage holdings, loans or other credit claims constituting the income of the securitisation funds.

l) The income of foreign accounts satisfied or paid by permanent establishments abroad of credit institutions and financial institutions resident in Spain.

m) Yields satisfied to entities that are exempt from the tax under the provisions of an international treaty signed by Spain.

n) dividends or shares in profit, interest and other satisfied income between companies that are part of a group that is taxed in the tax consolidation regime.

n) dividends or shares in profits distributed by economic, Spanish or European interest groups, and by temporary unions of undertakings, other than those which are to be taxed in accordance with the general rules of the Tax, which correspond to members who must bear the tax base's imputation and come from tax periods during which the institution has been taxed in accordance with the special scheme of Chapter II of Title VII of the Law of the Tax.

(o) The income obtained by the exempt entities referred to in Article 9 (1) of the Tax Act.

The condition of an exempt entity may be credited by any of the eligible means of proof. By means of the decision of the competent authority of the State Tax Administration Agency, which corresponds according to its organic structure, the means and form may be established to prove the condition of an exempt entity.

By Order of the Minister of Finance and Public Administrations, it will be possible to determine the procedure in order to be able to make the exemption from the obligation of withholding or income to account in relation to the income derived from the securities of the public debt of the State received by the exempt entities referred to in Article 9 (1) of the Tax Act.

p) The dividends or shares in profits referred to in Article 21 (1) of the Tax Act.

For the purposes of this letter, the entity shall inform the entity required to retain that the requirements laid down in that Article are met. The communication shall contain, in addition to the identification data of the recipient, the documents justifying compliance with the requirements.

q) The income earned by the taxpayer from the Corporate Income Tax, provided that they meet the following requirements:

1. º That are represented by annotations in account.

2. º to be traded on an official secondary market of Spanish securities, or on the Alternative Fixed Income Market, a multilateral trading system created in accordance with the provisions of Title XI of Law 24/1988.

However, credit institutions and other financial institutions that formalise with their clients contracts of accounts based on transactions in financial assets shall be obliged to retain their income from the income obtained by the holders of those accounts.

Financial institutions through which the interest payment is made on the securities referred to in this letter or which are involved in the transmission, redemption or redemption of the securities shall be required to calculate the performance attributable to the holder of the value and inform the holder and the tax administration of the value, to which it shall also provide the data for the persons involved in the operations listed above.

The Minister of Finance and Public Administrations shall also establish the intermediation and information obligations relating to the separations, transmissions, reconstitutions, reimbursements or redemptions of the securities of public debt for which the separate trading of the principal and the coupons has been authorised. In such cases, the managing entities of the Public Debt Market in Annotations shall be obliged to calculate the performance attributable to each holder and report it, both to the holder and to the tax administration, to which, provide the information for the persons involved in the operations on these values.

The Minister of Finance and Public Administrations are empowered to establish the procedure to make the retention exclusion regulated in this letter effective.

r) The prizes referred to in paragraph 1 (b) of the previous Article, where the amount of the prize is not more than EUR 300, as well as the lottery and betting prizes which, by their amount, are exempt from the special charge concerning the additional 30th of 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 Non-Residents and on Heritage.

s) The income earned by the taxpayers from the Debt Company Tax issued by the public administrations of OECD countries and financial assets traded on organized markets in those countries. countries.

However, credit institutions and other financial institutions which formalise with their clients contracts of accounts based on transactions on the financial assets referred to in the preceding paragraph shall be obliged to retain in respect of the returns obtained by the holders of those accounts.

Financial institutions through which the interest payment is made on the securities referred to in this letter or which are involved in the transmission, redemption or redemption of the securities shall be required to calculate the performance attributable to the holder of the value and inform the holder and the tax administration of the value, which shall also provide the data for the persons involved in the operations listed above.

The Minister of Finance and Public Administrations are empowered to establish the procedure to make the retention exclusion regulated in this letter effective.

(t) Income arising from the transmission or redemption of shares or shares representing the capital or assets of collective investment institutions obtained by:

1. The investment funds of a financial character and the variable capital investment companies regulated in Law 35/2003 of 4 November of Collective Investment Institutions, in whose management regulations or statutes have a minimum investment of more than 50% of their equity in shares or shares of several collective investment institutions as provided for in paragraphs (c) and (d) of Article 48.1 of the Rules of Procedure; development of Law 35/2003 of 4 November, of institutions of collective investment, approved by Royal Decree 1082/2012 of 13 July.

2. Financial investment funds and variable capital investment companies regulated in Law 35/2003, in whose management regulations or statutes the investment of at least 85% is established. One hundred of his assets in a single fund of investment of a financial character of those regulated in the first paragraph of article 3.3 of the Regulation of the Development of Law 35/2003. Where this investment policy relates to a compartment of the fund or the investment company, the derogation from the obligation to retain and enter into account provided for in this subparagraph shall apply only in respect of investments which are part of the assets of the institution attributed to that compartment.

The application of the retention exclusion provided for in this letter (t) will require the investment institution to be included in the relevant category which, for the types of investment referred to in paragraphs 1 and 2, has established the National Securities Market Commission, which shall be included in its information leaflet.

u) The amounts paid by insurance institutions to pension funds as a result of pension insurance plans.

v) The income from the change of assets in which the provisions of life insurance are invested in which the taker assumes the risk of the investment.

For the purposes of the preceding paragraph, insurance institutions shall communicate to the entities required to carry out the retention, on the basis of the transfer or redemption of assets, the fact that they are is a insurance contract in which the taker assumes the risk of the investment and in which the requirements laid down in Article 14.2.h) of Law 35/2006 are met. The entity required to carry out the retention shall keep the communication duly signed.

w) The income derived from the exercise of the liquidation functions of insurance institutions and the processes in which they are subject to which they are submitted by the Insurance Compensation Consortium, under the terms of the the third subparagraph of Article 24 (1) of the recast text of the Legal Statute of the Insurance Compensation Consortium, approved by the Royal Legislative Decree 7/2004 of 29 October.

(x) The income that is shown in the holding companies as a result of the variation in pension commitments that are implemented in a collective insurance contract that has been the subject of a plan of financing, as long as it has not been fully complied with, in accordance with the provisions of the second paragraph of Article 36.5 of the Regulation on the implementation of the pension commitments of undertakings with workers and beneficiaries, approved by Royal Decree 1588/1999 of 15 October 1999.

and) The income derived from the repayment or transfer of shares in the funds governed by Article 79 of the Law of the Development of Law 35/2003.

z) The remuneration and compensation for economic rights collected by the Company for the Management of the Systems of Registration, Compensation and Settlement of Securities for the loans of securities made in compliance with the established in Article 57 of Royal Decree 116/1992 of 14 February 1992 on the representation of securities by means of accounting and clearing and settlement of securities transactions.

The entity referred to in the preceding paragraph shall also not be required to hold any remuneration and compensation arising from the loans of securities taken in compliance with the provisions of the above paragraph. Article 57, which pays the lenders or persons lenders. All this without prejudice to the retention of the said income to the withholding tax, in accordance with the rules governing the personal tax of the creditor, which, where appropriate, must be performed by the participating institution which intermediary in its payment to the person, whose effect is not to be understood as making a simple payment mediation.

Article 62. Subjects required to retain or make an entry into account.

1. They shall be required to retain or enter into account when they meet or pay rents as provided for in Article 60 of this Regulation:

(a) Legal persons and other entities, including the communities of property and property owners and entities on the basis of income allocation.

(b) Taxpayers for the Income Tax of Physical Persons engaged in economic activities, when they meet income in the exercise of their activities.

(c) Natural persons, legal entities and other non-resident entities on Spanish territory, who operate in the Spanish territory by permanent establishment.

2. A person or entity shall not be deemed to satisfy or pay an income when it is limited to a simple payment mediation, where the payment of an amount per account and order of a third party is understood, except in the case of entities (a) Depository of foreign securities owned by residents in Spanish territory or who are in charge of managing the collection of the income of such securities. The aforementioned depository entities shall practice the corresponding retention provided that such rents have not been subject to prior retention in Spain.

3. In the case of prizes, the person or entity who satisfies them shall be obliged to retain or to take into account.

4. In transactions on financial assets, they shall be obliged to retain:

(a) In the income earned on the redemption or redemption of financial assets, the person or entity. However, in the event that a financial institution is entrusted with the materialisation of those transactions, the obligation to retain it shall be the financial institution in charge of the transaction.

In the case of turn instruments converted after their issuance in financial assets, at maturity they shall be obliged to retain the public purse or financial institution that intervenes in the filing for recovery.

(b) In the income earned in the transfer of financial assets including the instruments of rotation referred to in the previous paragraph, when channelled through one or more financial institutions, the bank, cash or financial institution acting on behalf of the transferor.

For the purposes of this number, it shall be understood that the bank, box or financial institution receiving the order for the sale of the financial assets shall act on behalf of the transferor.

(c) In cases not listed in the preceding paragraphs, the public purse must intervene in the operation.

5. In the transmission of securities of the State Debt, the management entity of the Public Debt Market in Annotations that intervenes in the transmission shall be held.

6. In the case of transfers or repayments of shares or shares representing the capital or assets of collective investment institutions, the following persons or entities shall be subject to the following persons or entities:

(a) In the case of the repayment of the investment fund shares, the managing companies, except for the shares registered in the name of trading entities on behalf of unit-holders, for which Such trading entities shall be required to practice retention or entry into account.

(b) In the case of repurchase of shares by a variable capital investment company whose shares are not listed on the stock market or in another market or organised securities trading system, acquired by the taxpayer directly or through trade to society, the society itself, unless a management company intervenes; in this case, it will be this.

(c) In the case of collective investment institutions domiciled abroad, the trading entities or the intermediaries empowered to market the shares or shares of those undertakings and, subsidiary, the entity or entities in charge of the placement or distribution of the securities among the potential subscribers, when they make the reimbursement.

(d) In the case of managers operating under the freedom to provide services, the designated representative in accordance with the provisions of Article 55.7 and the second provision of Law 35/2003 of 4 November Collective Investment Institutions.

e) In cases where the retention practice does not apply in accordance with the preceding paragraphs, it shall be obliged to make a payment to the partner or participate in the transfer or obtain the refund. The said payment shall be made in accordance with the rules laid down in Articles 64.4, first paragraph, 65.3 and 66 of this Regulation.

7. In the case of capital reduction transactions with return of contributions and distribution of the issue premium, made by variable capital investment companies regulated in the Law of Collective Investment Institutions not subject to the the general rate of charge, the company must practice the withholding tax or revenue.

In the case of collective investment institutions governed by Directive 2009 /65/EC of the European Parliament and of the Council of 13 July 2009 on the coordination of laws, regulations and administrative provisions on certain undertakings for collective investment in transferable securities, incorporated and domiciled in a Member State of the European Union and registered in the special register of the National Securities Market Commission, for the purposes of placing on the market by entities resident in Spain, they will be required to practise income from the trading entities or the intermediaries empowered to market the shares or units of those institutions and, in the alternative, the entity or entities responsible for the placement or distribution of the securities; to intervene in the payment of the income

In the case of collective investment undertakings equivalent to variable capital investment companies registered in another State, irrespective of any limitation they have in respect of restricted groups of investments, in the acquisition, disposal or redemption of their shares, the obligation to carry out the withholding or entry into account shall be the responsibility of the institution which deposits the securities or which is entrusted with the management of the recovery of the income derived from the same.

In cases where the retention or entry into account practice does not apply in accordance with the preceding paragraphs, you will be obliged to make a payment to the partner or participate in the return of the contributions or the distribution of the emission premium. The said payment shall be made in accordance with the rules laid down in Articles 64.8, 65.1 and 66 of this Regulation.

8. In the case of operations carried out in Spain by insurance undertakings operating under the freedom to provide services, the representative designated in accordance with Article 86.1 shall be required to carry out or take into account the designated representative. of the recast of the Law on the Management and Supervision of Private Insurance, approved by Royal Decree-Law 6/2004 of 29 October.

9. The persons obliged to retain the obligation to make the entry into the Treasury, without the failure of that obligation to excuse them from this obligation.

The corresponding retention and income, when the entity paying the performance is the State Administration, will be made directly.

Article 63. Rating of financial assets and tax requirements for the transmission, redemption and amortization of financial assets.

1. They shall have the consideration of financial assets with implicit return where the yield is generated by difference between the amount satisfied in the issue, first placement or endorsement and the commitment to repay the the maturity of those operations whose performance is fixed, in whole or in part, implicitly, through any transferable securities used for the collection of foreign resources.

Emissions, amortization, or redemption premiums are included as implied returns.

The implicit performance concept is excluded from the placement bonuses or bonuses, which are rotated on the issue price, provided that they are within the market practices and that they are fully income for the the mediator, intermediary or financial colocator, acting in the issue and putting into circulation of the financial assets covered by this rule.

A financial asset with implicit performance shall be considered to be any instrument of rotation, including those originating in commercial transactions, from the time it is made or transmitted, unless the endorsement or transfer is made. as payment of a supplier or supplier credit.

2. They shall have the consideration of financial assets with explicit performance, those that generate interest and any other form of remuneration agreed as consideration for the transfer to third parties of own capital and which is not included in the concept of implied returns in terms of the terms set out in the previous paragraph.

3. Financial assets with mixed performance shall follow the scheme of financial assets with explicit return where the annual cash they produce of this nature is equal to or greater than the reference rate in force at the time of the issue, although in terms of issue, redemption or repayment, other additional performance would have been set out implicitly. This reference rate shall be, during each calendar quarter, 80% of the effective rate corresponding to the rounded weighted average price that would have resulted in the last auction of the preceding quarter, corresponding to State bonds. Three years, in the case of financial assets with a term of less than or equal to four years; to five-year government bonds, if they are financial assets with a term of more than four years but equal to or less than seven years, and State-to-government bonds. 10, 15 or 30 years if it were assets with a longer term. In the event that the reference rate cannot be determined for a period of time, it shall be applicable to the deadline closest to that of the planned issue.

For the purposes of this paragraph, in respect of the issuance of financial assets with floating or floating performance, their domestic performance rate shall be taken as the effective interest of the transaction, considering only returns of an explicit and calculated nature, where applicable, with reference to the initial valuation of the parameter for which the final amount of the accrued income is periodically fixed.

However, if this is public debt with mixed performance, whose coupons and amortization amount are calculated with reference to a price index, the percentage of the first paragraph will be 40 percent.

4. To proceed with the disposal or acquisition of the repayment of securities or financial assets with implicit performance and of financial assets with explicit performance to be withheld at the time of their transmission, amortisation or reimbursement, the prior acquisition of the same shall be credited with the intervention of the fedarios or financial institutions required to retain, as well as the price to which the transaction was made.

When a turning instrument becomes a financial asset after it is put into circulation, the first endorsement or transfer must be made through the public purse or financial institution, unless the same acquirer is a financial institution. The holder or financial institution shall record in the document its financial asset character, with the identification of its first acquirer or holder.

5. For the purposes of the preceding paragraph, the issuing person or entity, the financial institution acting on its behalf, the public purse or the financial institution acting or acting on behalf of the acquirer or depositor, As appropriate, they shall extend accreditative certification of the following:

a) Date of operation and identification of the asset.

b) Denomination of the acquirer.

c) The tax identification number of the acquirer or depositor.

d) Acquisition price.

From the aforementioned certification, which will be extended in triplicate, two copies will be given to the acquirer, with another one being held by the person or entity that certifies.

6. Financial institutions or public servants shall refrain from mediating or intervening in the transmission of such assets where the transfer does not justify their acquisition in accordance with the provisions of this Article.

7. The persons or entities issuing the financial assets referred to in paragraph 4 shall not be able to repay the same when the holder fails to accredit their prior acquisition by means of appropriate certification, as set out in paragraph 4. 5 above.

The issuer or financial institutions in charge of the transaction which, in accordance with the preceding paragraph, are not required to repay the holder of the title or asset shall constitute such a deposit at the disposal of the the judicial authority.

Repurchase, redemption, cancellation or early repayment shall require the intervention or mediation of a financial institution or public purse, leaving the entity or person issuing the asset as a mere acquirer in the event that return to the title of the title.

8. The holder of the title, in case of loss of a certificate of proof of his acquisition, may request the issuance of the corresponding duplicate of the person or entity that issued such certification.

This person or entity shall record the duplicate character of that document, as well as the date of issue of that document.

9. In cases of lucrative transmission, the acquirer shall be deemed to be subrogated in the acquisition value of the transfer, as long as sufficient justification of the cost is provided.

Article 64. Basis for the calculation of the obligation to retain and enter into account.

1. In general terms, it shall form the basis for the calculation of the obligation to retain the full or satisfied consideration.

In the case of leasing or subleasing of urban buildings, the basis of the retention shall be constituted by all the concepts that are satisfied to the lessor, excluding the Value Added Tax.

2. In the case of depreciation, repayment or transfer of financial assets, it shall be the basis for the calculation of the obligation to retain the positive difference between the redemption, redemption or transfer value and the acquisition value or subscription of such assets. The acquisition value shall be the value of the accrediting certification of the acquisition. For these purposes, the ancillary costs shall not be reduced to the operation.

Without prejudice to the withholding tax, in the event that the issuing entity acquires a financial asset issued by it, the retention and income on the performance that it obtains in any form of further transmission of the title, excluding depreciation.

3. Where the obligation to retain their origin pursuant to Article 60 (1) (b) of this Regulation shall constitute the basis for the calculation of the amount of the prize.

In the case of lotteries and betting awards which, by their amount, are subject to and not exempt from the special charge of certain lotteries and bets as referred to in the third third of 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, the retention will be practiced on the amount of the prize subject and not exempt, in accordance with that provision.

4. Where the obligation to retain has its origin as provided for in Article 60 (1) (f) of this Regulation, the retention basis shall be the difference between the value of the transmission or reimbursement and the acquisition value of the shares or shares. For these purposes, the values transmitted or reimbursed by the taxpayer shall be deemed to be those that he acquired in the first place.

When it comes to the reimbursement of investments in investment funds regulated by Law 35/2003 of 4 November, of Collective Investment Institutions, for which, by application of the provisions of Article 40.3 of the This law provides for more than one registration of members, or for the transmission or redemption of shares or units in collective investment institutions domiciled abroad, marketed, placed or distributed in Spanish territory, the the age rule referred to in the preceding paragraph shall be applied by the managing body or a marketing undertaking with which a refund or transmission is made in respect of the securities listed in its register of members or shareholders.

5. Where the obligation to enter into account has its origin pursuant to Article 60 (3) of this Regulation, it shall constitute the basis for the calculation of the market value of the good.

For these purposes, the result of increasing the acquisition or cost value for the payer by 20 percent will be taken as a market value.

6. Where the full consideration cannot be proved to be enforceable or satisfied, the tax administration may compute as such an amount of which, subtracted from the withholding tax, the tax administration shall be charged.

7. Where the obligation to retain or to enter into account has its origin in the secondary adjustment as provided for in Article 18.11 of the Tax Act, the difference between the agreed value and the value of the contract shall be the basis of the same. market.

8. In the case of the income referred to in Article 60 (1) (g) of this Regulation, the withholding tax shall be the amount to be included in the taxable amount calculated in accordance with Article 17 (6) of that Regulation. Tax law.

Article 65. Birth of the obligation to retain and to enter into account.

1. As a general rule, the obligations to retain and to enter into account shall be due at the time of the enforceability of the income, cash or in kind, subject to withholding or income, respectively, or in that of their payment or delivery if it is previous.

In particular, interest shall be deemed to be payable on the due dates indicated in the deed or contract for settlement or recovery, or otherwise recognised in other form, even if the recipient does not claim his/her recovery or returns are accumulated to the principal of the transaction, and dividends on the date set out in the distribution agreement or from the day following that of its adoption in the absence of the determination of that date.

2. In the case of returns arising from the redemption, repayment or transfer of financial assets, the obligation to retain or to enter into account shall be incurred at the time the transaction is formalised.

3. In the case of income obtained as a result of transfers or repayments of shares or shares representing the capital or assets of collective investment institutions, the obligation to retain or to take account of the income shall be borne by the time when the operation is formalized, whatever the agreed charging conditions are.

Article 66. Percentage of retention and income on account.

The percentage of retention or income to account will be as follows:

a) With a general character, 19 percent. In the case of income from the lease or sub-lease of urban buildings located in Ceuta, Melilla or its premises, obtained by entities domiciled in or operating in those territories by establishment or branch, this percentage will be divided by two.

(b) In the case of income from the transfer of the right to the exploitation of the image or the consent or authorisation for its use, 24%.

c) In the case of lottery and betting awards, which, by their amount, are subject to and not exempt from the special charge of certain lotteries and bets as referred to in the additional thirtieth provision of the Law 35/2003, of November 28, 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, 20 percent.

Article 67. Amount of the withholding or income on account.

The amount of the withholding or income on account shall be determined by applying the percentage referred to in the previous article to the calculation basis.

Article 68. Obligations of the retainer and the obligation to enter into account.

1. The retainer and the obliged to enter into account must present in the first twenty calendar days of the months of April, July, October and January, before the competent organ of the tax administration, declaration of the quantities retained and the income on account that corresponds to the previous immediate calendar quarter and enter its amount in the Treasury.

However, the declaration and entry referred to in the preceding paragraph shall be made in the first 20 calendar days of each month, in relation to the amounts withheld and the revenue to account corresponding to the immediate (a) the former, in the case of retainers or obliged to whom the circumstances referred to in Article 71 (3.1) of the Value Added Tax Regulation, approved by Royal Decree 1624/1992, of 29 March 1992, are met. December.

No negative statement shall be made when the income to be withheld or entered into account has not been satisfied in the reporting period.

2. In the first 20 calendar days of January, the holder or obliged to enter into account must submit an annual statement of the withholding and income to account. However, if this statement is to be found in support directly readable by computer or has been generated by the use, exclusively, of the corresponding printed modules developed for this purpose, by the Tax administration, the time limit for filing shall be between 1 January and 31 January of the year following the year of which that declaration corresponds.

In this declaration, in addition to your identification data, you may be required to record a nominee relationship with the following data:

a) The name of the entity.

b) Tax identification number.

(c) Income obtained, with indication of the identification, description and nature of the concepts, as well as of the financial year in which the income was due.

d) Practiced retention or account entry.

The same obligations set out in the preceding paragraphs shall be subject to institutions domiciled, resident or represented in Spain, who pay for income which is subject to withholding tax or which are depository or manage the collection of income from securities.

3. The holder or the person to be admitted shall issue in favour of the taxpayer certifying evidence of the withholding tax, or of the income made available, as well as of the other data relating to the taxpayer who must be included in the annual declaration referred to in the preceding paragraph.

This certification must be made available to the taxpayer prior to the start of the deadline for declaring this tax.

The same obligations set out in the preceding paragraphs shall be subject to institutions domiciled, resident or represented in Spain, who pay for income which is subject to withholding tax or which are depository or manage the collection of value rents.

4. Payers shall communicate to the taxpayer the withholding or entry into account at the time they satisfy the income, indicating the percentage applied.

5. The declarations referred to in this Article shall be made in the models which the Minister of Finance and Public Administrations may establish for each class of income, who may also determine the data to be included in the declarations, as provided for in paragraph 2 above, the holder being obliged to enter into account to complete all the data so determined and contained in the statements which affect him.

The declaration and entry shall be made in the form and place to be determined by the Minister of Finance and Public Administration.

6. The statement and revenue of the payment as referred to in point (e) of Article 62.6 of this Regulation shall be made in the form, place and time limit to be determined by the Minister of Finance and Public Administration.

CHAPTER III

Conversion of deferred tax assets into receivables against the Public Finance. Compensation and payment procedure

Article 69. Procedure for the clearing and payment of claims against the public finances.

1. Deferred tax assets corresponding to impairment of loans or other assets arising from the possible insolvencies of debtors not linked to the taxpayer, not due to public law entities and whose deductibility does not occur pursuant to the provisions of Article 13.1.a) of the Tax Law, as well as the derivatives of Article 14 (1) and (2) of the Tax Law, corresponding to allocations or contributions to (a) social security and, where appropriate, pre-retirement, shall be converted into an enforceable claim against the Tax administration, in the terms laid down in Article 130 (1) of the Tax Act.

2. The conversion of the deferred tax assets referred to in the previous paragraph into an enforceable claim against the tax administration shall be made at the time of the filing of the self-settlement of the Company Tax. for the tax period in which the circumstances provided for in Article 130 (1) of the Tax Act have occurred.

3. The conversion of deferred tax assets into an enforceable claim against the tax administration will determine that the taxpayer may choose to apply for payment to the tax administration or to compensate for such credits with other taxes. debts of a State-owned tax nature which the taxpayer himself generates from the moment of conversion.

4. The application for credit payable to the tax administration shall be made through the self-financing of the Company Tax. This payment shall be governed by the provisions of Article 31 of Law 58/2003 of 17 December 2003, General Tax, and in its implementing legislation, without, in any event, the accrual of the interest for late payment referred to in paragraph 2 of This Article 31.

5. In the event that the taxpayer provides for the compensation of the credit payable to the tax administration with other debts, in the terms laid down in Article 130 (3) of the Tax Law, the taxpayer must direct the competent for processing the corresponding application, for each debt whose compensation is intended to be made, according to the model to be approved by the Order of the Minister of Finance and Public Administrations. Such request shall contain the following data:

(a) Identification of the tax liability whose compensation is requested, indicating at least its amount and concept. It shall also indicate the due date of the period of entry in the case of debt with a period of voluntary period.

(b) Identification of the self-settlement in which the payable credit is generated against the tax administration whose compensation is intended.

c) Taxpayer statement indicating that the credit referred to has not been applied for, nor has its compensation been requested for the same amount with other tax liabilities.

The application may be filed in relation to any debts generated from the time of conversion. This application shall not prevent the application for deferrals or fractionations of the remaining debt.

The resolution of this request must be notified within 6 months.

As not provided for in this article, the provisions of the General Rules of Collection, approved by Royal Decree 939/2005 of July 29, regarding the compensation of debts, will be applicable.

The competence to process the corresponding procedure and dictate resolution in the assumptions regulated in this article will be established by the corresponding specific organization rule.

Single additional disposition. Concept of a patrimonial entity in tax periods initiated prior to 1 January 2015.

For the purposes of Article 5 (2), in order to determine whether or not an entity has the status of patrimonial in tax periods initiated prior to 1 January 2015, the sum shall be taken into account aggregate of the annual balance sheets of the tax periods corresponding to the holding time of the holding, subject to the limit of those initiated after 1 January 2009, unless otherwise proved.

First transient disposition. Amortization of used items.

The acquired property assets, which are being amortised prior to the entry into force of Law 43/1995 of 27 December of the Company Tax, will continue to be depreciated according to the rules in force prior to the entry into force of that Law.

Second transient disposition. Credit risk in financial institutions.

1. The derogation provided for in Article 7.3 of the Company Tax Regulation, approved by Royal Decree 1777/2004 of 30 July 2004, in accordance with the wording in force until 31 December 2004, will only affect the allocations corresponding to the excesses of the balances of the concepts referred to in that derogation in respect of balances of the same nature corresponding to the date of entry into force of the Order of 13 July 1992 on the application of the provision for insolvencies to credit institutions subject to the administrative supervision of the Banco de España, without prejudice to the integration into the tax base of the balances of the Insolvencies Fund that are released for any reason, as soon as these balances come from allocations that have been taken into account for tax deductible.

2. The derogation provided for in Article 7.3 of the Company Tax Regulation, approved by Royal Decree 1777/2004 of 30 July 2004, in accordance with the wording in force for the tax periods started on 1 January 2005, only it shall affect the appropriations corresponding to the excess of the balances of the concepts referred to in that derogation in respect of balances of the same nature as from 31 December 2004, without prejudice to the integration into the basic the taxable amount of the generic coverage that is released for any cause, as soon as such balances come from allocations that would have been considered tax deductible.

Transitional provision third. Transitional arrangements for tax benefits on certain financial transactions.

1. Application of the transitional arrangements. -They will maintain the acquired rights, in the terms in which they were granted and in accordance with the provisions of this transitional provision, the entities which, at the time of the entry into force of the Law 43/1995, of December 27, of the Corporation Tax, will enjoy some of the tax benefits to which the transitional provision of the Law of the Tax is concerned.

2. Acquired rights.

(a) For the purposes of the preceding paragraph, they shall have the consideration of acquired rights:

1. The bonuses recognized in the Capital Tax Tax on the concessionary companies of motorways, granted on a given basis and on an individual basis, before 1 January 1979 by virtue of the Formal agreement or contract with the State.

2. The bonuses in the Company Tax, granted during the life of Law 61/1978, of 27 December, of a fixed duration, recognized by the State, to which the transitional provision sixth of the Tax Law.

(b) The acquired rights may not be subject to any extension at the end of the recognised period.

3. Application to the concessionary companies of motorways of the profits from the Tax on the Rentas of the Capital.

(a) The benefits recognised to the motorway concessionaires shall continue to apply in accordance with the rules of the Capital Income Tax and on the rate to be applicable under that tax.

(b) The recipient of the income, when he is subject to a personal obligation, may deduct from his quota the Capital Income Tax which would have been applied in the absence of the benefit.

(c) By way of derogation from the preceding number, insurance, savings and credit institutions of all classes shall deduct from their quota only the amount actually retained.

4. Bonuses granted for the duration of Law 61/1978, of December 27, of the Company Tax.

The entities which, at the entry into force of Law 43/1995, of 27 December of the Company Tax, had acquired rights in respect of the allowances referred to in paragraph 2 (a) (2) of this provision shall retain the same in the terms in which they were granted, without prejudice to the following paragraphs.

5. Bridge credits.

(a) Credit-bridge credits are defined as those granted to cover the period of implementation of the refinancing operations for which the allowance is intended, provided that the time limit does not exceed one year, which may be extended, communication to the tax administration for another annual period.

b) The yields of the bridge credits will not be bonus.

(c) The allowance granted under paragraph 7 of this provision shall not be forfeited for loans or borrowings the amount of which is intended to cancel the bridge credits referred to in paragraph (a).

6. Replacement and transmission of units.

(a) In cases of replacement and transmission of shares in the credit transaction that do not exceed 5 percent of the outstanding balance of the transaction, provided that the degree of foreign participation in the transaction is not altered financing and no change in the direction of the operation, the borrowing entity shall be limited to reporting annually to the body which granted the allowance for the alterations made.

(b) Where the conditions set out in the preceding subparagraph are not met, the issuing entity shall be obliged to request the validation of the allowances on its day granted.

7. Refinancing operations.

(a) They may be refinanced, without thereby losing the bonuses they have originally recognised as long as they meet the requirements set out in this provision:

1. The loans agreed on in the foreign market, as well as the borrowings issued therein.

2. The borrowings issued in the internal market.

(b) There shall be inexcusable requirements for refinancing operations to be eligible for the following bonus:

1. No longer than the maximum period of the original financial transaction.

2. º that the amount of the refinancing operation does not exceed the amount of outstanding and unexpired debt on the date of such operation.

In the case of transactions in foreign currency involving the replacement of the currency used, the currency exchange rate shall be applied to the currency of the date on which the refinancing operation is carried out.

(c) Exceptionally, in the case of transactions carried out on the international market, the extension of the time limit referred to in paragraph (b) .1 may be authorised when the refinancing operation is carried out at best conditions of both interest and guarantees.

d) In no case shall the bonus be applicable to the refinancing operations of the interest.

e) The granting of the refinancing operations bonuses shall be requested by the entity in accordance with the conditions laid down in this provision.

8. Request:

(a) The request for the allowance in the operations referred to in this provision shall be addressed to the General Tax Directorate of the Ministry of Finance and Public Administrations, accompanying the following documents:

1. ' Memory of investments to be made with funds from loans or borrowings in which the detailed budget of the cost of loans, their location and the dates and time limits set out in the which shall be carried out.

2. The financing plan for such investments, in which the dates specified in which, in one or several times, external, internal or external financial means will be used, in order to obtain the financing required.

3. Copy of the contract or loan agreement. The borrowings shall be accompanied by the certification of the minutes of the General Board in which the issuance or agreement of the Board of Directors has been approved in which the agreement is executed by the General Board.

When a contract proposal is submitted, a copy of the contract must be submitted once it has been established.

4. Loan or loan repayment table.

5. º-bridge credits enjoyed, as well as their duration.

6. Degree of linkage or absence of this, between lenders and borrowers.

(b) The application shall be accompanied by the supporting economic-financial memory of the operation.

9. Resolution:

(a) If the resolution adopted by the Minister of Finance and Public Administration, and by delegation the Director General of Taxation, is favorable, it shall be determined:

1. ° Bonus Percentage granted.

2. The total amount of the operation that will benefit from the bonus.

3. The maximum term within which the investments contained in the memory should be carried out.

4. Schedule and terms of the financial operations envisaged, without in any case exceeding the amount referred to in paragraph 2. above.

5. º Other conditions that are estimated to be relevant.

(b) The resolution referred to in the preceding number shall be provisional as long as the following formalities are not fulfilled:

1. "Administrative Authorization", in the form that it shall proceed, when required for the performance of the financial transaction.

2. Check the tax administration after the deadline for the realization of the investments, that the company has taken them into effect and fulfilled the conditions under which the investments have been granted bonuses. In any event, the tax authorities may at any time carry out the checks they deem necessary to establish the proper monitoring of the investments to which the benefits granted relate.

The authorisation granted on the basis of a contract proposal shall also be provisional as long as it is not ratified within 15 days of receipt of the final contract.

(c) The time limit for the adoption of the provisional decision shall be one month from the day following the day on which the application is submitted accompanied by all relevant data and documents or, where appropriate, from the time the request is made. omissions at the request of the tax administration.

(d) Where the time limit laid down in the decision for making the investments is insufficient, the undertaking may, at least one month before the date on which the investment is due to expire, apply for a single extension of the same, stating the reasons for this request. The tax administration shall notify the company of the relevant resolution before the end of the ordinary period. If this is not done, the resolution will be understood to have been favourable.

Transitional disposition fourth. Transitional arrangements for changes in the retention of capital income and on capital gains.

1. The obligation to retain in transmissions, redemptions or repayments of financial assets with explicit performance shall be applicable to operations formalised from 1 January 1999.

In transfers of financial assets with explicit return issued prior to 1 January 1999, in the event of failure to credit the purchase price, the retention shall be made on the difference between the value of the issue of the asset and the transmission price.

No retention shall be made for returns arising from the transmission, exchange or amortisation of securities issued prior to 1 January 1999, issued prior to 1 January 1999, which were not subject to this date. retention.

2. Where, as from 1 January 1999, explicit returns are received for which, as the frequency of the liquidations exceeding 12 months, income has been made on account, the definitive withholding tax shall be applied to the rate in force in the the time of the enforceability and shall be regularised on the basis of the revenue to be realised.

Transient disposition fifth. Reporting obligations of the transitional provision of the Tax Act.

For the purposes of the provisions of the transitional provision of the Tax Law, taxpayers shall submit, together with their declaration for the Corporate Tax on the financial years in which they are practice the deduction referred to in that provision, the following information:

a) Identification and percentage of participation in those participating entities whose acquisition has generated the right to apply the referred deduction.

b) Description of your activities.

(c) The value and date of acquisition of the units, as well as the value of the net accounting assets corresponding to those units, determined on the basis of the homogenised annual accounts.

(d) Justification of the criteria of valuation and temporal homogenization, as well as of imputation to the assets and rights of the investee entity, of the difference between the acquisition price of its shares and the net accounting assets attributable to them on the date of their acquisition.

Single end disposition. Ratings to the Minister of Finance and Public Administrations.

The Minister of Finance and Public Administrations is enabled to:

a) Approve the model of declaration for this Tax and determine the places and manner of presentation of it.

b) Approve the use of simplified or special declaration modalities, including the consolidated statement of the groups of companies.

c) Set the documents or supporting documents to accompany the declaration.

d) Approve the fractional payment model and determine the location and presentation form of the payment.

e) Approve the information model to be provided by economic interest groups and temporary joint ventures.

(f) To extend, on the basis of substantiated technical reasons, the time limit for the submission of the tax declarations laid down in the Tax Law and in this Regulation when this presentation is carried out by way of telematics.