Skip to content
Back to index
V2312-25 27 November 2025 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · bases imponibles negativas

Compensation limit for negative taxable bases does not apply to profits during insolvency liquidation

The DGT confirms that the compensation limit for negative taxable bases does not apply to profits generated during the insolvency liquidation period, even if the formal extinction of the entity occurs later.

The question raised

Clarify whether the exception mentioned in the fourth paragraph of Article 26.1 of the LIS (Corporate Income Tax Law) can be understood to extend to all fiscal years in which liquidation operations are carried out.

The DGT's ruling

The limitation on the offsetting of negative tax bases must not be applied to the income generated during the entity's insolvency liquidation period. This holds true even if the formal dissolution of the company occurs in a subsequent tax period, as such delay is beyond the entity's control. The objective is to avoid applying the limit to income generated on the occasion of liquidation and dissolution.

Book your free first meeting