Legal chaos around mortgage tax reform
Por Cristina Ruiz López
13th of January 2020
Rural savings banks and credit unions have a special tax regime in Spain, mainly regulated by Law 20/1990, of December 19, on the Tax Regime of Cooperatives. This rule explicitly establishes in its article 33 that as protected cooperatives they are, and in spite of being these the lenders of a credit are exempt from paying the mortgage registration tax, whose duty falls exclusively on the client.
In this sense, the last modification introduced in the consolidated text of the Law on Tax on Patrimonial Transmissions and Documented Legal Acts (TRITP-AJD), approved by Royal Legislative Decree 1/1993, of September 24, in relation to the application of the tax benefits and exemptions granted by the TRITP-AJD or other laws in the Tax on Documented Legal Acts, raises questions about whether the provisions of article 33 of Law 20/1990 is an express provision for the purpose of maintaining the Exemption in the constitution and cancellation of mortgage loans granted by rural savings banks and credit unions.
Tips to end the tax year 2019
- Por Irene Carrera Aguado
- 17th of December 2019
A few days before the end of 2019, it is convenient to review certain practical accounting and tax issues that can help us to better plan the coming year, and even save us money in taxation. Therefore, we give some advices to take into account before this year’s end.
Going around with taxation for severance payments
- Por Reyes Gil Serrano
- 14th of October 2019
The judgment of the National Court of last July is in comments, in which, through the indiciary test, the application of the exemption in the Personal Income Tax of a compensation for severance payments agreed in an act of conciliation before the labor authorities is denied . The Tax Authorities and the aforementioned Court presume the existence of an agreement between the parties.
Uncertainty about municipal capital gain continues
- Por Alberto González Ferrer
- 10th of October 2019
The Supreme Court must resolve two new issues related to the Tax on increase in urban land value: first, whether it is possible to determine the taxable base according to the accounting result declared in the Corporation Tax; and, secondly, whether it is possible to update the acquisition value of the property according to the CPI or to some inflation correction mechanism.
The miracle of the multiplication of tax debts
- Por Irene Carrera Aguado
- 3rd of April 2019
For years, the assignment of subsidiary liability to company managers was a relatively rare procedure, associated with cases of serious omissions of settlements and / or tax payments. However, for various reasons, this assignment of liability has become an increasingly common procedure in recent years, which has revealed several shortcomings in its regulation and implementation, which should be corrected as soon as possible to ensure equity, and proportionality in the procedures related to the collection action.
Impending changes in Spanish SICAV
- Por Reyes Gil Serrano
- 28th of January 2019
In recent years there has been an intense debate on the fiscal regime applicable to Spanish SICAV. The measures contained in the recently published Draft Law on General State Budgets for 2019 have important consequences on these entities, which must be analyzed by their shareholders in order to seek alternatives for action.
Farms, sheep, cheese... and taxes
- Por Jesús Quintas
- 31st of October 2018
The fact of introducing an anonymous author in certain way is often used in narrative. But in this case I was highly inspired by the announcement of a minimum tax for corporations, due to such low effective rate observed in these entities in recent times, particularly in big corporations. As this note is inspired by traditional fables and parables, its aim is no other than giving a value judgment, meaning that it might not be shared neither agreed by all readers.
The fiscal and the economic-social dualization
- Por Jesús Quintas
- 14th of September 2018
The conflict between development and redistribution is in the focus of the debates on the most appropriate economic policy. Quite often, the arguments in favor of the preeminence of one over the other are not so rooted in the analysis of the economic and social impact of the suggested measures, as on their popularity for the electors, with an increasing trend towards social duality. This social duality distorts the principle inspiring the creation of the modern state of law: charges must be approved by those on which such charges will be levied. This post poses three illustrative examples of such a situation.
Parking fine, my battle won to the City Council
- Por Alberto González Ferrer
- 16th of July 2018
After two long years of proceedings against the Madrid City Council, the Contentious Administrative Court of Madrid has finally ruled in my favour: the controllers of the Municipal Regulated Parking Service (known by its acronym SER) are required to incorporate in the administrative file when signing a fine an image of the vehicle, in the form of photography, digital filming or other technological means, that allows them to endorse the complaint made. Not meeting this legal requirement, the fine would be illegal.
Partner´s activity or company´s activity?
- Por Irene Carrera Aguado
- 28th of June 2018
Much has been discussed lately about the legality or lack thereof of exercising economic activity through a company as opposed to channeling the same sort of activities through a partner of the latter, as well as the changes made in the Tax Authorities’ criteria. Nevertheless, this is not an issue that is new or that has undergone significant modifications in the recent past years, it is simply a litigious issue that has not yet been resolved.
Continuous upheavals regarding administrators' remuneration
- Por Salvador Ruiz Gallud
- 7th of May 2018
The latest shock for our profession and clients arises from a sentence of the Supreme Court dated February 26, 2018, regarding the compliance in determining the executive directors' salary conditions.
Radical change in Directors' remuneration in Spanish corporations. Comment on the Supreme Court Judgement of 26 February 2018.
- Por Pablo Olivera Masso
- 5th of March 2018
Few matters in Spanish companies' law have been subject to so many diverse interpretations and contradictory court decisions as that one related with the regime of administrators' remuneration. The Supreme Court has given a ruling on Directors´ remuneration that implies a radical change in the way in which the applicable law needs to be interpreted.
The takeover bid of ABERTIS and its administrative authorisations: the force of fate
- Por Pablo Olivera Masso
- 24th of January 2018
The stormy progress of the takeover bid of ABERTIS and the hotness and coldness of its participants recall those romantic novels in which an outcome with tragic tinges different to those desired by its leading characters end up imposing themselves. The leading figures of these works cannot be removed from the force of destiny because, although they do not know it, the final outcome has already been written.
Appointing by co-option of directors and it strange relations
- Por Pablo Olivera Masso
- 9th of March 2017
New doctrine of the Directorate General for Registers and Notaries that states that the power of the Board of Directors to appoint Directors expires or not depending on the agenda of the previous Boards of Directors.
New case law on the articles of association requirements on the shares pricing
- Por Pablo Olivera Masso
- 31st of January 2017
Articles of Association of a limited liability company may include provisions by which the first refusal right can be exercised at book value and not at the market value of the shares.
New case law on the requirements to sign notarial documents through attorneys in fact
- Por Pablo Olivera Masso
- 18th of January 2017
Practical criteria on the formalities that must be used in signing public deeds in which a signatory appears represented a third party using a power of attorney.