STORIES

20 November, 2018

Spanish Tax Form 232. Transfer Pricing Reporting Obligations

Corporate Taxpayers as well as non-residents who operate in Spain through a permanent establishment are obliged to report annually on the transactions they carry out with persons or entities considered to be tax related, through Form 232.

Corporate Taxpayers, as well as non-residents who operate in Spain through a permanent establishment, are obliged to report annually on the transactions they carry out with persons or entities considered to be tax related, through Form 232.

 

This information was traditionally reported in the annual Corporation tax return and was transferred to this new form last year. In it, not only are the mentioned operations reported but those carried out with countries or territories qualified as tax havens are also mentioned.

 

Although it sought to simplify the obligations of taxpayers, it has resulted in an extension on their obligations.

 

We strongly recommend Spanish taxpayers obliged to its filing, to apply well in the preparation and presentation of this declaration given that its lack of presentation is punishable by the tax administration.

 

    • This statement must be presented when the market value of the operations carried out with the same related person or entity exceeds the threshold of 250,000 euros in the year. With respect to financing operations with related parties, the Spanish General Directorate of Taxes has clarified in various resolutions that, for the purpose of calculating the limit of 250,000 euros, only the consideration of the operation must be computed, which means that, in the case of loan operations, interest must be calculated. Since the order that regulates the form establishes the obligation to inform based on “the consideration of the set of operations in the tax period”, it is understood that it must be informed only when the interest for the year exceeds the limit mentioned above.

 

    • This limit does not operate when the operations are classified as “specific”, in accordance with article 18.3 of the Corporate Income Tax Law, such as business transfer transactions, on real estate or on intangible assets, for example. Although the law does not say so, the Tax Regulation seems to clarify that the “operations” on real estate refer to the transmissions of the same, which would exclude a lease from the consideration as a specific operation. Specific operations must be reported provided that the combined amount of each type of operation in the tax period exceeds 100,000 euros, regardless of the assessment method used.

 

      • Irrespective of the amount of the consideration for all operations carried out with the same related person or entity, there will always be an obligation to present Form 232 and complete the “Information on transactions with related persons or entities (Article 13.4 RIS)” with respect to those operations of the same type that in turn use the same method of valuation, provided that the amount of the set of such operations in the tax period is greater than 50% of the turnover of the entity.
        This limit assumes, for example, that companies with a zero turnover figure must report all the related party transactions of the year.

     

    • Finally, it should be noted that the lack of presentation is punishable by a fixed pecuniary fine of 20 euros for each piece of data or group of data referring to the same person or entity, which should have been included in the declaration, with a minimum of 300 euros and a maximum of 20,000 euros. These limits are reduced by half when the presentation is made after the deadline but without prior request from the administration.

CONTACT

MADRID
Pedro Teixeira 8, planta 4ª, 28020
T+34 91 192 21 22

BARCELONA
General Mitre 28-30 08017.
T+34 93 363 65 10

Based in Barcelona and Madrid. Englobally is our Latin American business partner established in Santiago de Chile.

We are also part of Englobally Group, an international association of independent accounting and advisory firms that provide a one-stop shop managed solution for accounting, payroll and HR needs, with member firms in over 25 countries and associates working in many others. Many fast growing technology and lifescience businesses find their international services invaluable. Companies in many other sectors are attracted by the close and supportive way Englobally Group works.

Name

E-mail

Message

Please type the code below

captcha

  • Este sitio web utiliza Cookies de terceros y de análisis, para recopilar información con la finalidad de mejorar nuestros servicios, así como para analizar sus hábitos de navegación. Si continúas navegando, supone que aceptas expresamente la instalación de las mismas. Tienes la posibilidad de configurar tu navegador pudiendo, si así lo deseas, impedir que sean instaladas en tu dispositivo, aunque deberás tener en cuenta que dicha acción podrá ocasionar dificultades de navegación de la página web.

  • De conformidad con lo establecido en la normativa vigente en materia de Protección de Datos de Carácter Personal, le informamos que sus datos serán incorporados al sistema de tratamiento titularidad de PROFESSIONAL BOOKKEEPING SERVICES S.L. con CIF B59830638 y domicilio social sito en RONDA DEL GENERAL MITRE 28 08017, BARCELONA, con la finalidad de atender sus consultas. En cumplimiento con la normativa vigente, PROFESSIONAL BOOKKEEPING SERVICES S.L. le informa que sus datos serán conservados durante el plazo estrictamente necesario para cumplir con las acciones mencionadas con anterioridad.

    Salvo comunicación contraria por su parte, entenderemos que sus datos no han sido modificados, que usted se compromete a notificarnos cualquier variación respecto de los mismos, y que usted da su expreso consentimiento para que PROFESSIONAL BOOKKEEPING SERVICES, S.L. utilice los mencionados datos para las finalidades mencionadas.

    PROFESSIONAL BOOKKEEPING SERVICES S.L. le informa que procederá a tratar los datos de manera lícita, leal, transparente, adecuada, pertinente, limitada, exacta y actualizada. Es por ello que PROFESSIONAL BOOKKEEPING SERVICES S.L. se compromete a adoptar todas las medidas razonables para que estos datos se supriman o rectifiquen sin dilación cuando sean inexactos.

    De acuerdo con los derechos que le confiere la normativa vigente en materia de protección de datos podrá ejercer los derechos de acceso, rectificación, limitación de tratamiento, supresión, portabilidad y oposición al tratamiento de sus datos de carácter personal, así como del consentimiento prestado para el tratamiento de los mismos, dirigiendo su petición a la dirección postal indicada más arriba o al correo electrónico info@pbs.es.

    Podrá dirigirse a la Autoridad de Control competente para presentarla reclamación que considere oportuna.

    El envío de estos datos, implica la expresa aceptación de esta cláusula.

  • Pursuant to current Personal Data Protection Regulations, you are hereby informed that your data will be included in a processing system owned by PROFESSIONAL BOOKKEEPING SERVICES S.L. with Tax ID No. B59830638, with its registered address at RONDA DEL GENERAL MITRE 28, 08017 BARCELONA (SPAIN), in order to deal with your questions and requests. In compliance with current regulations, PROFESSIONAL BOOKKEEPING SERVICES S.L. hereby informs you that your data will be kept for as long as is strictly necessary to complete the aforementioned action.

     

    Unless otherwise stated, we will consider that your data have not been modified, that you undertake to inform us of any modifications thereto, and that you give your express consent for PROFESSIONAL BOOKKEEPING SERVICES, S.L. to use said data for the specified purposes.

     

    PROFESSIONAL BOOKKEEPING SERVICES S.L. informs you that it will proceed to process your data in a lawful, loyal, suitable, relevant, limited, exact and updated manner. Therefore, PROFESSIONAL BOOKKEEPING SERVICES S.L. undertakes to apply all reasonable measures to ensure that any incorrect data are deleted or corrected without delay.

     

    According to the rights granted to you under current data protection regulations, you will be entitled to exercise your rights of access, rectification, limitation on processing, suppression, portability or opposition regarding the processing of your personal data and your consent to the same, by addressing a written request to the postal address provided above or to the email address info@pbs.es.

    By sending these data, you are expressly accepting this clause.