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V2398-24 25 November 2024 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · bases imponibles negativas

Transferred tax loss carryforwards are not affected by the Art. 84.2 CIT reduction if no double compensation occurs

A company enquired whether it should apply the reduction to the tax loss carryforwards of an absorbed company under Article 84.2 of the CIT Act. The DGT ruled that the limitation does not apply if there is no double compensation of losses at both the shareholder and the absorbing company levels.

The question raised

1. Whether the limitation on the offsetting of negative tax bases regulated in Article 84.2 of Law 27/2014, of November 27, on Corporate Income Tax, is applicable.

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