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V4070-16 ·23 September 2016 ·consulta-vinculante Medium impact
Tax

Leasing of movable property is subject to Corporate Tax withholding if it does not constitute an economic activity

A company has enquired whether it must apply withholding tax when paying for the lease of a truck to another company. The DGT has ruled that withholding must be applied provided that the leasing is not the lessor's primary economic activity and they do not tax under a tax group.

In 5 key points

How it affects those involved

Companies leasing movable assets must ensure they correctly apply Corporate Tax withholding if the lessor is not professionally engaged in such activities and is not part of a tax group.

Lifecycle

2016-09-23PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

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This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
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