Tax and Tax Planning
The Spanish tax system comprises three kinds of taxes: “impuestos” (true taxes), “tasas” (dues and fees) and “contribuciones especiales” (special levies). The “tasas” and “contribuciones especiales” are collected in return for a public service provided by the authorities or for any type of benefit as a result of public works or services. In Spain taxes are levied by the Central Government, by the Autonomous Communities (regional) and by local authorities.
List of Central Government taxes:
- Corporate income tax (impuesto sobre sociedades)
- Personal income tax (IRPF)
- Nonresident income tax
On assets (affecting only individuals):
- Inheritance and gift tax
- Wealth tax (IS
- Value added tax (VAT)
- Transfer tax and stamp tax
- Excise taxes
- Customs duties on imports
- Tax on insurance premiums
Please note that taxation in the Canary Islands, the Basque Country and Navarra can be quite different from the rest of the country.
List of local taxes:
Periodic taxes, among them:
- Tax on real estate (Impuesto sobre bienes inmuebles, IBI).
- Tax on business activity (Impuesto sobre actividades económicas, IAE).
- Tax on erection and installation projects and construction works (Impuesto sobre construcciones, instalaciones y obras).
- Tax on increase in urban land value (Impuesto sobre el incremento del valor de los terrenos de naturaleza urbana).
Thanks to their in-depth knowledge of the Spanish Tax System, the Tax department offers reliable legal, tax and accounting advice regarding tax returns, tax planning, fines, litigation with the Tax Administration, etc.