(English) Monthly Newsletter - Arcos & Lamers Asociados

Changes in the law which rules the guarantees for payments on account of the price during the construction of a property in Spain

(Please check our blog “Insurance for payments on account at the time of the purchase of a property in Spain”)

Law 20/2015, of July 14, management, supervision and solvency of insurers and reinsurers, has amended the Law Construction Planning in relation to the rights of individuals in the anticipated amounts paid on account during the constuction of a property in Spain.

- Several provisions of the Spanish“Law 57/1968 of 27 July, regarding the receipt of sums of money in advance for the construction and sale of homes. Modifications are introduced by the first additional provision of the Law Construction Planning, which main contents to the purposes of this blog, are detail as follow:

Company tax in Spain. Losses from previous fiscal years

The time limit to compensate the negative tax bases of the company tax in Spain generated by the losses from previous tax years has changed drastically by the law 27/2014.

New measures are being taken in the law 27/2014: compensation of negative tax bases:

How compensation of negative tax bases is being dealt with, is set forth in article 26 of the law 27/2014 and this now changes substantially. These tax bases will be applied without any time limit in the future. In other words, negative tax bases generated since 1997 may be compensated from now onwards. Congratulations!

There is however a quantity limit of 70% of the tax base prior to compensation. But then again, a compensation of 100% is allowed in case the minimum amount is 1 million euros.

Keep your issued and received invoices in Spain: