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V1467-18 30 May 2018 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
OTRO · reserva para inversiones en canarias

Commencing operations after the three-year period may invalidate the materialisation of the RIC

A query was raised regarding whether the materialisation of the Canary Islands Investment Reserve (RIC) through financial instruments remains valid if the funded projects commence operations after the three-year legal deadline. The Directorate-General for Tax (DGT) indicates that, as a general rule, if operations begin after this period, the requirement is not met, although exceptions exist for complex projects.

The question raised

In the event that the entity financed by the financial institution, which executes the private projects, carries out the commissioning after the date on which the investor's materialization period ends, whether it would be considered a suitable materialization for the aforementioned investor.

The DGT's ruling

The materialization of the RIC through financial instruments is considered to have occurred when the entity carrying out the private projects puts the acquired assets into operation. If this occurs after the three-year period, the requirement is deemed to have been breached. However, there shall be no breach if the delay is due to objective causes beyond the investor's control, such as technical complexity or the nature of the project, provided that the investments are effectively carried out within the legal three-year period. These investments must be carried out without anomalous interruptions and the process must not exceed the period that corresponds to it by its nature.

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