In September 2025, the Andalusian regional government announced a sweeping reform of its income-tax deductions (IRPF) that removes income limits for several previously restricted measures. Although the reform has been broadly welcomed, many observers have criticized the administration for introducing it so late in the fiscal cycle, arguing that the delay has created uncertainty and … Read more
After 3 years of extensive planning for one of the most dramatic changes in business accounting and taxation in Spain’s history, after numerous delays, we were all set for the Verifactu rules to take effect on 1 January 2026, just 14 working days away! In an astonishing turn, on the 2 December 2025 the Spanish … Read more
What is the Modelo 840? The Modelo 840 is the form that businesses and professionals in Spain must use to register the economic activity they carry out for tax purposes. It is linked to the Impuesto sobre Actividades Económicas (IAE), which is a local tax paid by companies and self-employed people based on the type … Read more
IntroductionTax Form 232 is an essential document for companies in Spain who engage in international transactions with Tax Havens or dealings with related parties. It provides the Spanish tax authorities (Agencia Tributaria) with information about these transactions, ensuring compliance with Spain’s tax regulations and its commitment to international standards of transparency. In this article, we … Read more
On June 30, 2025, the Spanish Tax Agency (Agencia Tributaria) officially executed the first installment collection of the Impuesto sobre la Renta de las Personas Físicas (IRPF) for the 2024 fiscal year. As every year, the date marked a moment of reckoning: for some, a withdrawal; for others, a windfall. Taxpayers who opted for the … Read more
Spain has long been a magnet for globally mobile professionals. With the launch of its Digital Nomad Visa (DNV) and the expansion of the so-called Beckham tax regime, the country now offers not just lifestyle, but a highly competitive fiscal proposition — at least for those who understand the rules. At first glance, the combination … Read more
On June 2025, the Generalitat Valenciana published Law 5/2025, introducing a set of fiscal measures that suggest a clear shift in approach. Among the most notable is the increase in the wealth tax exemption threshold, which will rise from 500.000€ to 1.000.000€ as from 31 December 2025. This change applies to both resident taxpayers and … Read more
When a company becomes subject to a tax inspection, it must adhere to two different types of deadlines: response deadlines for specific requests and the overall timeframe for the inspection process. While businesses are typically required to respond to tax authority requests within 10 or 15 business days or, in certain cases, one month, the … Read more
In Spain, a dormant company, known as an “inactive company,” is one that has ceased trading but has not been formally dissolved. Despite not engaging in business activities, these companies still have certain legal obligations to fulfill: By adhering to these obligations, dormant companies in Spain can maintain compliance with legal requirements and avoid potential … Read more
What is M202 and who is required to file it? Businesses and entities operating permanently in Spain, as well as those under an attribution of income regime that were established outside Spain but maintain a presence in the country, are required to submit M202. This form serves as an advance payment of the Corporation Tax … Read more
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