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V1190-14 29 April 2014 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · consorcio

Non-profit consortium is subject to Corporation Tax and must declare its income

A query was raised regarding whether a consortium established for airport promotion must file a Corporation Tax return. The DGT ruled that, as it possesses its own legal personality, it is a taxable person and may benefit from a partial exemption regime.

The question raised

1) Whether it has the obligation to file the Corporate Income Tax return.

The DGT's ruling

The consortium is a taxpayer for Corporate Income Tax purposes due to its own legal personality. It does not enjoy full subjective exemption as it is neither an Administration nor an autonomous body, nor can it apply the regime of Law 49/2002 due to its legal form. It may apply the partial exemption for non-profit entities, provided that the income derives from its social purpose, although this will not extend to income from economic activities. It is obliged to declare all its income, unless its total income does not exceed 100,000 euros and it meets other specific requirements.

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