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V2433-17 29 September 2017 · SG de Tributos Criterion in force
OTRO · representación legal

A partner may continue filing tax returns if they hold legal representation of the entity

A partner of a cooperative with management deadlock asks whether they can continue filing tax returns on behalf of the entity. The DGT rules that they may do so provided they hold legal representation under the terms required by law.

The question raised

Question posed - Can the inquiring partner, who has been filing tax returns, continue to file said returns on behalf of the entity until the situation is resolved judicially or extrajudicially, given that there are obligations of the cooperative with third parties (suppliers, financial institutions, etc.) that must be satisfied and stock that must be liquidated?

The DGT's ruling

Legal entities must act through the persons holding their representation at the time of the action. Consequently, the partner may continue to file tax returns to the extent that they hold representation under the legally required terms.

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