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V0489-20 27 February 2020 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · escisión parcial

Special partial demerger regime applicable if business branches with own organisation and valid economic reasons are transferred

The ruling examines whether a partial demerger of a company engaged in trade and property leasing can qualify for the special regime under the Corporate Income Tax Act (LIS). The DGT indicates that for this to apply, the segregated assets must constitute business branches with distinct material and human resources and must be supported by valid economic reasons.

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