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A company has enquired whether its merger by absorption with another entity under the same ownership can apply the special Corporate Tax regime. The Directorate General of Taxes (DGT) indicates that it must comply with commercial regulations and Article 76.1 of the Corporate Tax Act, in addition to having valid economic reasons.
Companies undertaking structural reorganisations must ensure they meet both commercial law standards and specific tax requirements to benefit from tax neutrality.
The tax team reviews your specific situation.
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