By Sara Duarte, accountant and tax adviser in Spain, General rules to produce an invoice in Spain.
Entrepreneurs and professionals who carry out an activity in Spain are under the obligation to issue an Spanish invoice and a copy of the same for the delivery of goods and services carried out and to keep a copy of the invoice issued. They also have the obligation to issue an invoice for any advance payments received with the exception of exempt Intra-Community deliveries of goods.
In all cases the Entrepreneurs and professionals are under the obligation to issue an Spanish invoice when they fall under the following cases:
FISCAL RESIDENT IN SPAIN.
The tax consultants of the Spanish law firm, Arcos & Lamers Asociados, wish to point out an important detail concerning the Income tax in Spain mentioned at the law 16/2012, of 27th December, establishing several measures aimed to consolidating public finances. This change does affect to the Spanish Income tax rules applicable to financial year 2013 that should be declared in 2014.
Elimination of the deduction for home investment.
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.
This time, Arcos & Lamers Asociados has the pleasure to inform you on another relevant reduction at the Spanish Tax System, this time, specifically at the Income Tax in Spain for tax residents who start to carry out an economical activity as from 01.01.2013 (I.R.P.F, Impuesto sobre la renta de las personas físicas) as mentioned at Spanish Law 04/2013 of 22nd February, which is meant to improve and increase Spanish economy.
Specifically chapter two of the mentioned law is including relevant reductions at the Spanish Income Tax. Of course, limitations on these reductions have been included as well. The reduction entitles a relevant decrease of 20% of the positive income generated. Congratulations!
Limitations to the mentioned reductions:
Wealth tax in Spain
As previously informed by this Spanish law firm and accountants in Marbella, Arcos & Lamers Asociados, wealth tax in Spain had been restored temporarily only for the years 2011 and 2012. Nevertheless since last 28th December 2012 several new tax measures appeared aiming for consolidation of public finances and the promotion of economic activity in Spain. One of the measurements is the extension for 2013 of the Wealth Tax in Spain. As per present Spanish law it again introduces a general exemption of 100% as from 1st January 2014, which means that the Wealth tax in Spain would stop to be due, as per present law, in 2015.
Arcos & Lamers Asociados, Spanish lawyers, registered accountants and tax advisers are pleased to inform you about your tax liabilities in Spain, to grant the corresponding tax forms, whether you are resident, non resident, an individual or company. Do not hesitate to contact this multi-lingual Spanish law firm at any time and all your tax and legal matters in Spain will be treated within the below mentioned rules of conduct:
Less deductions at Spanish Income Tax.
As per Spanish accountants, Arcos & Lamers Asociados, the government in Spain has accomplished what had been discussed in 2012. The tax reduction for investment in a permanent residence for all taxpayers who are fiscal residents in Spain is no longer a fact when acquiring a property after 1st January 2013.
Nevertheless, there is a transitory regime that allows taxpayers in Spain to make the reduction if at 1st January 2013:
they had acquired their usual residence or had paid towards the construction of their property in Spain.
they had paid towards the reforms or extension of the Spanish property.
they had paid fees to carry out work or installations to adjust the property for disabled people. Read more »
Spanish road tax
Auxi Gutierrez, office manager of multilingual law firm in Marbella, Málaga, Spain is pleased to set out some lines with regards to the Spanish Tax on vehicles (Impuesto sobre vehículos de tracción mecánica IVTM). The tax on vehicles is a local municipally mandatory tax, established in Spain. This settlement of this Spanish tax is handled directly by the corresponding Town hall where cars and motorbikes are registered.
The IVTM is a Spanish tax on the ownership of motor vehicles, suitable for use on public roads.
How is this tax regulated in Spain?
You will find the regulation of this Spanish Tax in the revised Regulation Act Local Taxation (Royal Legislative Decree 2/2001 of March 5).
This tax would be applicable for all vehicles with Spanish plates except for those mentioned below Read more »
Spanish Chamber of Commerce
As per English speaking efficient accountant in Marbella, Ms. Sara Duarte Davison, the Spanish Chamber of Commerce is a Public Right Corporation which is legally bound as an advisory body and collaborator with all the Public Authorities and its main aim is to represent, promote and defend the general interest of the Spanish Trade, Industry and Navigation as well as to provide their services to businesses which are engaged in the above activities.Each local Spanish Chamber tries to collaborate with the local businesses by providing them with information and guidance to enable them to improve, grow and support the export of products amongst other services.
By Spanish law all self-employed entrepreneurs and businesses have to settle an annual fee which is linked to the IAE (Business Activity Tax- Impuesto sobre Actividades Económicas). The opposition from some taxpayers to the compulsory member’s fee grew as many entrepreneurs felt that they were not obtaining any benefit from the Chamber and strongly suggested for the membership to be voluntary.
On the 3rd of December 2010 it was published at the Official Spanish State Gazette the RD Law 13/2010 which modified the previous Law 3/1993 stating that the membership to the Chamber of Commerce will be voluntary and therefore also its fees.
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Every year around tax time, we enjoy wishing freelancers a happy new year. That’s because one of the best times to get serious about personal finance is now, when you’ve finished your taxes and have resolved to organize your financial life better for next year.
Most of the time, we’re addressing young freelancers who are struggling to make ends meet and making mistakes experienced freelancers have long ditched. But every year we meet experienced freelancers who are doing things the hard way. For example, there’s the social media guru — a man who recently billed one client six figures — who told us that his filing system consisted of stuffing receipts and unopened bank statements into plastic bags scattered around his office. It was April 1, and he was determined to organize the contents of all eight bags in a day so he could meet with his accountant. Read more »
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