Through this regulation, the European Directive guaranteeing a minimum global taxation of 15% for multinational companies is transposed into national law, and several other relevant tax measures are incorporated, which will come into effect in 2024 and 2025.
Complementary Tax to Guarantee a Minimum Global Level of Taxation for Multinational Groups and Large National Groups
A fiscal regime is regulated that ensures an effective tax rate of 15% for large multinational and national groups with consolidated income equal to or greater than €750,000,000.
Income Tax
Savings Scale (effective from January 1, 2025):
- The tax rate will increase by two percentage points, from the current 28% to 30%, starting from a taxable base of €300,000.
Returns of the Second Transitional Provision for Mutualists:
- The State Agency for Tax Administration (AEAT) may recognize refunds to mutualists concerning tax periods from 2019 to 2022, through the initiation of the self-assessment correction procedure.
- The procedures, empowerment, and approval by the taxpayer will be presented, filed, and carried out according to the seniority of the tax period, at the rate of one tax period per calendar year starting from 2025.
- Refunds for tax periods 2029 and previous unprescribed periods will be due from January 1, 2025.
- AEAT will reject any other self-assessment or, where applicable, correction request presented by taxpayers intending to obtain the refunds referred to in this provision if they do not comply with its provisions. This will invalidate authorizations made before the effective date of this regulation, as well as AEAT actions based on them, as long as the corresponding refunds have not been paid. Furthermore, correction or refund procedures started through self-assessment will be void if the refund has not been agreed upon before the effective date.
Corporate Tax
Capitalization Reserve (effective for tax periods starting from January 1, 2025):
- The percentage of reduction will be increased to 20% and will further increase if the company increases its workforce. The percentages are:
- 23% if the average workforce in the tax period increases by at least 2% but not exceeding 5%.
- 26.5% if the average workforce increase from the previous tax period is between 5% and 10%.
- 30% if the workforce increase is above 10%.
- The workforce increase must be maintained for a period of 3 years.
Tax Rates (effective for tax periods starting from January 1, 2025):
- For taxpayers with Net Taxable Income (INCN) from the previous year of less than €1,000,000 (microenterprises), and provided they are not considered asset-holding entities, the following tax rates will apply:
- Microenterprises: 17% on the base taxable income up to €50,000. 20% on the remainder.
- Small Entities (those with INCN of less than €10,000,000): 20% for entities taxed under the special regime for small entities (ERD), provided they are not considered asset-holding entities.
Minimum Taxation (effective for tax periods starting from January 1, 2025):
- Taxpayers whose INCN is at least €20,000,000 or who are taxed under a tax consolidation regime, will be required to pay a minimum tax of 15% on their taxable base.
Negative Tax Bases (effective for tax periods starting from January 1, 2024):
Deductions to Avoid International Double Taxation:
- The 50% limit on the full tax rate for deductions to avoid international or internal double taxation generated or pending compensation will be activated again.
- This limitation only applies to taxpayers with an INCN of at least €20,000,000 in the 12 months prior to the start of the tax period.
Value Added Tax (VAT)
- The modification of the harmonized VAT Directive within the European Union will be promoted to allow Member States to tax short-term rental properties, particularly in areas where such accommodation hinders citizen access to housing or contributes to tourist saturation.
- The transposition of the Directive will be carried out urgently, involving digital platforms facilitating such rentals, which will be required to handle the VAT collection and payment.
