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V3341-14 16 December 2014 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · sociedad dominante

Group fiscal status can be maintained in 2014; dominant entity to make fragmented payments

A company inquired whether it met the requirements to be a dominant society and form a fiscal group in 2014, and what would happen to its integration into another group in 2015. The DGT confirms it meets the 2014 requirements and that the obligation to make fragmented payments falls on the dominant entity.

The question raised

1) Whether the consulting entity meets, in the 2014 fiscal year, the requirements of Article 67 of the consolidated text of the Corporate Income Tax Law approved by Royal Legislative Decree 4/2004, of March 5, to be considered a parent company and, therefore, forms a tax group for Corporate Income Tax purposes, together with its subsidiary companies.

The DGT's ruling

The consulting entity meets the requirements of Article 67 of the TRLIS to be a parent company in 2014, as it owns 100% of its subsidiaries and is not a subsidiary of another resident in Spain. The parent company must file the group tax return and assume the installment payments, being entitled to deduct the first payment already made by the subsidiaries. In 2015, the current group will be dissolved as the consulting entity loses its status as a parent company, integrating into the new tax group if the requirements of Law 27/2014 are met.

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