Skip to content
Back to index
V3414-15 6 November 2015 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · socimi

SOCIMIs taxed at 0% on dividends from other SOCIMIs and avoid 19% levy if shareholder is taxed at least at 10%

A consulting company has enquired whether it can apply the special SOCIMI regime, if dividends received from other SOCIMIs are taxed at 0%, and if it can avoid the 19% special levy on its own dividends if its non-resident shareholders are taxed at a rate of at least 10%. The DGT confirms the applicability of the regime and the conditions required to avoid the 19% levy.

The question raised

Various issues are raised in relation to the special tax regime for Listed Real Estate Investment Companies as described in the body of the response.

The DGT's ruling

SOCIMI entities are taxed at 0% in Corporate Income Tax on dividends originating from other SOCIMIs. To avoid the special 19% levy on dividends distributed to shareholders with a participation equal to or greater than 5%, these must be taxed in their place of residence at a rate of at least 10%. In the case of non-resident shareholders, this percentage is determined by considering both the withholding tax in Spain and the tax rate in their country of residence, reduced by deductions or exemptions to eliminate double taxation.

Book your free first meeting