tax in Spain

Company Tax in Spain

Company tax in Spain.

Accountant in Spain, Ms. Sara Duarte, has the pleasure to inform you on good news for companies in Spain regarding the possibilities to compensate losses from previous years. Spanish accountancy firm, Arcos & Lamers Asociados, your tax adviser and registered accountant in Spain, has the pleasure in informing you on the extension on compensations on losses from previous years.

As a new measure the deadline to offset tax losses from previous years has been extended in  Spain and will be implemented as from the tax period beginning January 1st, 2012.

Paragraph II of Royal Decree-Law 20/12, Tax law in Spain, changes for tax years beginning on or after January 1st 2012.  The changes on the Decree states that the period will be expanded from 15 to 18 years, and this last one will be the maximum period for offsetting tax losses.

This establishes that the tax losses from previous years that have been declared may be offset against positive income for the period Tax to be completed in the 18 years immediately succeeding.

This change will include all types of entities including small companies.

Furthermore, it will allow the application of the new extended period of eighteen years the tax loss that were pending to be compensated at the beginning of the first tax period started from January 1st , 2012.


Temporary application limits compensation of tax losses from previous years.

The Royal Decree-Law 20/2012 modifies the Royal Decree-Law 9/2011 changing the temporally limit for 2012 & 2013 on the tax losses offset for entities with a turnover in excess of twenty million euros.

The limits are based on the net amount of the turnover during the twelve months preceding the date of commencing the tax period – the new limits are set as follows.

Net Turnover (NT) in the 12 months prior to the beginning of the tax period Limit of the amount to be offset against tax losses from previous years
NT < 20 millions of euros No limit
20 ≤ NT < 60 millions of euros 50% of the pre-tax base
NT  ≥ 60 millions of euros 25% of the pre-tax base

Arcos & Lamers Asociados, your accountant in Marbella, Málaga, Costa del Sol Spain.

Do not hesitate to contact this Multi-lingual law firm for any tax or legal enquiry. Your registered accountant (economist) in Marbella, Málaga,Costa del Sol, Spain.

Sara Duarte Davidson, accountant in Marbella


Marbella, July, 2013.

  • Wim Lamers
  • Emigration, Fiscal advisers Marbella, Law in Spain, Spanish tax, Start a company in Spain, Tax advisor,

Share this story