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V0386-20 19 February 2020 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · fusión transfronteriza

Cross-border mergers may qualify for special regime if valid economic reasons exist

The DGT confirms that a merger between European companies within member states may apply for the special regime if it meets commercial and fiscal requirements and has valid economic grounds.

The DGT's ruling

To apply the special regime for merger operations of European companies, the operation must comply with the requirements of Law 3/2009 and Article 76.1.a) of the LIS. Said regime shall not apply if the primary objective is tax fraud or evasion, or if there are no valid economic reasons such as the restructuring or rationalization of activities. The existence of valid economic reasons is a matter of fact that the Administration shall verify.

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