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V0755-18 21 March 2018 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · amortización

Higher depreciation rates may apply to assets used across multiple work shifts

A hypermarket company inquired whether certain machinery and equipment could be depreciated at a higher rate than usual due to being used in two 8-hour shifts. The Directorate General of Taxes (DGT) ruled that this is applicable to assets that do not require continuous use by their technical nature.

The question raised

Whether the provisions of Article 4.2 of Royal Decree 634/2015, of July 10, approving the Corporate Tax Regulations, are applicable to elements employed in more than one normal work shift in hypermarkets.

The DGT's ruling

Elements used daily in more than one normal work shift may be depreciated using a coefficient calculated according to Article 4.2 of the RIS. This calculation sums the maximum linear coefficient and a supplement based on the daily hours worked. This possibility does not apply to elements which, due to their technical nature, must be used continuously.

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