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V2428-16 3 June 2016 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · atribución de rentas

Civil societies engaged in fishing activities are taxed via income attribution rather than Corporate Tax

A query was raised regarding whether a civil society dedicated to mussel production should be taxed under Corporate Tax or through income attribution. The DGT ruled that, as fishing activities fall outside the commercial sphere, the entity is not a taxpayer for Corporate Tax purposes.

The question raised

Whether, as of January 1, 2016, the consulting entity may continue under the income attribution regime or shall become a taxpayer for Corporate Income Tax.

The DGT's ruling

To be a taxpayer for Corporate Income Tax, a civil society must have legal personality (manifested before the Administration) and a commercial purpose. Commercial purpose is understood as the performance of production, exchange, or service activities in a non-excluded sector. Agricultural, livestock, forestry, mining, and professional activities, as well as fishing activities, are excluded from the commercial scope. Therefore, civil societies with these activities are not taxed under Corporate Income Tax, but rather through the attribution of income to their partners.

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