Confianz

Etiqueta: planificación fiscal

  • What is a large company for tax purposes in 2025

    The Tax Agency has drawn a clear line: any company with an annual turnover exceeding €6,010,121.04 is considered a large company. This figure is not calculated on the basis of profits or net income, but on total turnover. And the change in status is immediate: if you exceed this threshold this year, you will be a large company next year.

    This volume is calculated by adding up all deliveries of goods and services provided, including those exempt from VAT. Tax payments and occasional transactions such as the sale of real estate or assets are not included. Financial transactions and certain agricultural or livestock activities that are taxed under special regimes are also not counted.

    Crossing this threshold changes a lot. It is not just a matter of invoicing more. From then on, the tax authorities expect a different way of operating. Failure to adapt can lead to penalties, management errors or even liquidity problems.

    What it means to be a large company in tax terms

    Once your company is considered a large company for tax purposes, everything changes: deadlines, how to file returns, your relationship with the administration… It’s a leap in level. These are the main consequences:

    • Monthly returns. It is no longer enough to file them quarterly. VAT (form 303) and withholdings (forms 111 and 115) must be submitted every month.
    • Mandatory SII. Immediate information provision requires keeping VAT records electronically, sending invoice data to the tax authorities almost in real time.
    • Electronic notifications. All official communications are made electronically. The company must have a digital certificate and pay attention to notifications.
    • Installment payments other than corporation tax. The system provided for in Article 40.3 of the Corporation Tax Act applies, which requires payments to be calculated on the basis of actual results for the financial year.

    In addition, many self-assessments must be submitted exclusively electronically, including forms as diverse as 200, 232, 349 and 720, among others. The list is long and leaves no room for error.

    Managing all this requires more than just technical resources. It requires solid tax organisation, cash flow forecasting and experienced teams. It is not uncommon for growing companies to find themselves overwhelmed after changing status.

    How to prepare to become a large company

    The best way to deal with the status of Large Enterprise for tax purposes is to anticipate it. If your company is approaching the threshold, it is advisable to carry out an internal tax review. What systems do you have in place to control invoicing? How is the accounting done? Are you prepared to file monthly returns without errors?

    An essential step is to digitise your processes. The use of accounting software adapted to the SII is no longer optional. You must also ensure that you have a valid electronic certificate and that your finance team is aware of the new deadlines.

    Another key point is cash flow. Filing and paying monthly can affect liquidity. Adjusting collection and payment schedules or planning corporate tax instalments well is vital to avoid financial stress.

    At Confianz, we help many companies that have taken this leap. We know that the problem is not only technical: it is organisational and strategic. That is why we not only comply, but also help you gain efficiency, avoid penalties and maintain control even when the tax pressure intensifies.

    Becoming a large company for tax purposes is much more than a change of category. It is a complete transformation in the way you interact with the tax authorities. Knowing what this entails, anticipating it and having a good tax strategy is what makes the difference between a company that adapts and one that struggles.

    At Confianz, we not only know the regulations, we also understand the reality of growing businesses. If you are close to the large company threshold, we can help you make the leap with confidence. Let’s talk.

  • Corporate Tax 2025: key strategic points

    Corporate tax 2025 has become the procedure that determines the competitive advantage of Spanish companies. Those who master its new rates, deductions and obligations will gain margin, cash flow and peace of mind. However, the reform brings nuances that cannot be summed up in a simple headline. That is why we break down the essentials here, with a practical approach.

    New corporate tax rates for 2025

    The general rate remains at 25%, but everything below that has changed.

    Micro-SMEs with a turnover of less than one million will be taxed at 21% on the first €50,000 of taxable income. For the rest, a rate of 22% applies, two points less than in 2024.

    Medium-sized SMEs will see an intermediate step with a rate of 24%, while small entities will move to 20%.

    Start-ups and newly created companies will maintain the 15% rate for the first four years of profitability, a key respite for early liquidity.

    Meanwhile, the minimum rate of 15% for groups with sales exceeding twenty million remains in force. It is advisable to review deferred adjustments so as not to lose deductions.

    The reduction for micro-SMEs will not stop in 2025. The government plans annual reductions until the first tranche reaches 17% and the rest 20% in 2027. Therefore, bringing forward profits to this financial year may be advantageous.

    Consolidated tax groups must calculate their minimum tax on the sum of individual tax payments. It does not apply to the consolidated result, which may increase the tax if there are companies operating at a loss.

    Corporate tax deductions and incentives

    The deduction for R&D&I carries more weight than ever. It now covers the purchase of intangible assets developed by third parties, provided that the project has a report from the Ministry of Science. The Supreme Court has confirmed that this report is binding on the tax authorities and guarantees deductibility.

    Green projects receive further support. The freedom to amortise renewable self-consumption installations up to five hundred thousand euros is maintained. In addition, accelerated amortisation is introduced for electric vehicles and charging points.

    The capitalisation reserve is being strengthened. The reduction is now 20% of the increase in equity. It even reaches 30% if the average workforce grows by more than 10%.

    Finally, the deduction for donations is increased from 35% to 40%. Ticking the ‘Solidarity Company’ box costs taxpayers nothing and multiplies the social impact.

    The digital revolution also reaches corporate tax in 2025. A ten per cent tax credit is created for expenditure on advanced data analysis and cybersecurity software. This incentive is compatible with the innovation deduction and can be combined with accelerated depreciation of hardware.

    The limitation on financial expenses remains anchored at 30% of EBITDA, but is relaxed for certified green infrastructure projects. In these cases, an additional threshold of five million is allowed, which, when calculated correctly, reduces the tax base without altering the debt ratio.

    Formal obligations and strategy

    The 2025 corporation tax return must be filed between 1 and 25 July, or 22 July if you pay by direct debit. Form 200 includes a section on beneficial ownership that requires the identification of the individuals who control the company.

    Corrective self-assessments simplify the correction of errors. Simply submit a new Form 200 and calculate the interest yourself without waiting for a request.

    In compensation for negative bases, the old brackets reappear. The general limit of 70% drops to 50% between twenty and sixty million in income and to 25% above that amount.

    The 2025 corporation tax rewards early action. Those who combine smart investment with compliance control obtain real reductions and reduce risks.

    Remember that the 2025 corporation tax interacts with the minimum supplementary tax approved by the OECD, which will be settled in 2026. Anticipating accounting adjustments this year will ease the global double tax burden of Pillar Two.

    Request a free meeting with one of our specialists.

  • Impact of the Complementary Tax on Mergers and Acquisitions in Spain

    The impact of the Complementary Tax (Pillar 2) is a new tax figure affecting mergers and acquisitions in Spain. Since its implementation by Law 7/2024 of 20 December, this tax is levied on the difference between the 15% and the effective rate of taxation on profits in each jurisdiction.

    For those involved in M&A transactions, this tax is not just a technicality. It can change the valuation of a company, generate unexpected costs and complicate the tax structuring of a purchase or merger. Crunching the numbers before and after considering this tax is not the same. Let’s review the main problems it can bring and how to reduce risks.

    How Complementary Tax affects M&A

    The Complementary Tax applies to corporate groups with a consolidated turnover of 750 million euros in at least two of the last four financial years. What does this mean for companies in M&A? There are three possible scenarios:

    • Joining forces, but also taxes. Two companies that separately do not reach 750 million can exceed the threshold by joining forces. In that case, tax comes into play and changes the accounts.
    • One step further and under the radar. If a company is already close to that threshold, an acquisition can push it over the threshold and make it subject to the tax. That forces a rethink of the whole operation.
    • New rules. If the buyer is already subject to tax, adding a company in a jurisdiction with a tax rate of less than 15% may involve an additional payment. What appeared to be a profitable transaction may not be profitable if the calculation is not done properly.

    It is not just a question of accounting, but of strategy. There is no room for surprises in M&A.

    Fiscal due diligence.  Better to be safe 

    Due diligence deadlines are often tight, but this tax makes it more important than ever to scrutinise accounts closely. Some points to bear in mind:

    • Where every euro is. Not all jurisdictions are taxed equally. If the target company has operations in countries with a rate of less than 15%, it is necessary to calculate what impact this will have on the final bill.
    • Information in dribs and drabs. It is not always possible to obtain all the necessary documentation within the due diligence deadlines. If there is no transparency in the numbers, the risk skyrockets.
    • Future impact. If after the purchase the structure of the group changes, the tax rules may also change. And that means unexpected additional costs.

    Poor planning here can be costly. It is key that the seller has a detailed tax impact analysis ready before entering into negotiations.

    How to structure the operation to avoid surprises

    Avoiding problems with the Complementary Tax is not just a question of numbers, but of how the operation is designed from the start. Some useful strategies:

    • Clarify who pays what. In procurement contracts, it must be precisely defined who bears the fiscal responsibilities. It is not enough to assume this, it must be written down.
    • Price adjustments. If due diligence does not provide an accurate picture of the impact of the tax, clauses can be included to adjust the price according to the actual costs after the purchase.
    • Find the best structure. In some cases, making the purchase through an entity in a country with a tax rate higher than 15% may reduce the impact of the tax.

    An important detail: at present, guarantee insurances do not cover the risks arising from this tax if they have not been identified beforehand. There is no safety net if something goes wrong.

    Beyond theory, at Confianz we help companies to reduce risks and design structures that avoid problems with this tax. If you are in the process of M&A and want to avoid surprises, let’s talk and see how to approach the operation with clarity.