The first half of the year is ending and an unavoidable appointment appears in all companies. We refer to the time of year in which, usually, the Corporation Tax must be presented.
It is the tax for which legal entities located in Spain must pay for the income they have obtained in a fiscal year (usually a calendar year).
Mercantile accounting is the basic pillar of this tax because it is what will establish the result obtained by the company in that specific year and that result will be the starting point for calculating how much the company must pay, hence the importance of taking it as far as possible. possible day.
Who must file the Corporation Tax
- Commercial companies: corporations, limited companies, Temporary Business Unions (UTE's).
- Civil Societies that have a commercial nature.
- Agrarian transformation companies (SAT)
- Labor companies.
- Public business entities.
- Investment funds, pension funds, cooperatives
- Economic Interest Groups (AIE)
- Associations and Foundations.
- Mutuals and Mutualities
- Compensation boards, irrigation communities, etc.
- Consortiums and brotherhoods
Exempt from paying corporate tax
As in all taxes there are always exemptions when paying them. This exemption can be both total and partial. This second group includes non-profit or charitable institutions and entities, non-governmental organizations (NGOs), business associations, official chambers, professional associations and political parties. They will have to declare the income obtained. Even though they are exempt, they must also present the tax return.
In the case of the total exemption are the entities of the public sector. Enter those of the State, local and regional, and also the managing entities of Social Security, or the Bank of Spain, among others. In this case, they do not have to present the tax settlement declaration.
How is it calculated?
From the accounting result, the adjustments provided by the Law must be made to arrive at the Taxable Base of the Tax. If this tax base is positive, that is, there have been profits, it is possible to make reductions and/or offset negative tax bases from previous years. Once these reductions/compensations have been made, the corresponding tax rate (normally 25%) is applied, thus obtaining the full fee. If there are deductions or bonuses that the company can apply, they are deducted from this full fee. The result of this operation will have to be subtracted from the payments on account made and the withholdings that have been made throughout the year, thus obtaining the final amount that can be deposited or returned.
Deadline for submission
The declaration must be filed within 25 calendar days following the 6 months following the conclusion of the tax period.
In most companies, its financial year coincides with the calendar year, thus, the deadline to submit it will be from July 1 to 25.
In localities where the last day of the voluntary filing period is a holiday or a Saturday, the Corporation Tax return can be filed until the first following business day.
Therefore, in this month of July, the term to present the declaration of the Corporation Tax corresponding to the fiscal year closed on December 31, 2021 begins, and From Capellas i Associats we can help you. Call us!!