Doctrine by topic · DGT Observatory

Newly Created Entities: DGT doctrinal evolution

How the DGT's position on this topic has evolved, and the rulings it rests on.

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How the DGT's position has evolved

Settled doctrine High confidence 44 rulings · 2014–2026

Current position

Newly created entities may apply the reduced rate of 15% in their first two periods with a positive taxable base, provided they carry out an economic activity. This rate does not apply if the activity was previously carried out by related persons or entities and transferred, or if it was exercised the previous year by a natural person with more than 50% ownership. Likewise, entities that are part of a group according to article 42 of the Commercial Code are not considered newly created for this purpose.

The DGT's position remains constant in the interpretation of the requirements for the reduced rate. It has repeatedly reaffirmed the exclusion of entities that are part of a group of companies and the prohibition of applying the benefit if there is a transfer of activity from related parties or majority shareholders.

Turning points

  1. V1535-16

    Establishes that entities that are part of a group according to article 42 of the Commercial Code are not considered newly created for the purpose of applying the reduced rate.

Analysis based on 43 of 44 rulings with a stated position. Updated 23 September 2026.

Rulings on this topic

24
V0816-26 13 Apr 2026

No reduced IS rate for new entities if part of a group

SG de Impuestos sobre las Personas Jurídicas
entidades de nueva creacióntipo de gravamen reducidogrupo de sociedadesinicio de actividadsucesión de actividad LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 5.1LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 18
Affects CompanyExpat · Non-residentIndividual
V3039-21 7 Dec 2021

New entities cannot apply the reduced tax rate if they are part of a corporate group

SG de Impuestos sobre las Personas Jurídicas
entidades de nueva creacióntipo de gravamen reducidogrupo de sociedadescontrolactividad económica LIS — Ley 27/2014 del Impuesto sobre Sociedades art. DT 22ªTRLIS — RDLeg 4/2004 (derogado por la Ley 27/2014) art. DA 19ª
Affects CompanyExpat · Non-residentIndividual
V2689-21 8 Nov 2021

Reduced 15% rate cannot be applied if the entity is part of a business group

SG de Impuestos sobre las Personas Jurídicas
entidades de nueva creacióntipo reducidogrupo de sociedadescontrolactividad económica LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 29.1LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 5.2
Affects CompanyExpat · Non-residentIndividual
V2011-21 6 Jul 2021

15% reduced rate for new companies contingent on no prior transfer of activities

SG de Impuestos sobre las Personas Jurídicas
tipo impositivo reducidoentidades de nueva creaciónactividad económicaentidades vinculadasbase imponible positiva LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 5.1LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 18
Affects CompanyExpat · Non-residentIndividual
V0879-21 13 Apr 2021

15% reduced rate inapplicable if company is part of a corporate group

SG de Impuestos sobre las Personas Jurídicas
entidades de nueva creacióntipo reducidobase imponible positivagrupo de sociedadescontrol de sociedades LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 29.1LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 5.2
Affects CompanyExpat · Non-residentIndividual
V0499-20 27 Feb 2020

15% reduced tax rate inapplicable if activity was transferred by a related party

SG de Impuestos sobre las Personas Jurídicas
tipo de gravamen reducidoentidades de nueva creaciónpersonas vinculadastransmisión de actividadbase imponible LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 18.2LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 29.1
Affects CompanyExpat · Non-residentIndividual
V3495-19 20 Dec 2019

Levelling reserve cannot be applied if taxed at the reduced rate for new companies

SG de Impuestos sobre las Personas Jurídicas
reserva de nivelaciónbase imponibletipo de gravamenentidades de nueva creaciónminoración de la base imponible LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 29.1LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 105
Affects CompanyExpat · Non-residentIndividual
V2120-19 12 Aug 2019

15% reduced rate inapplicable if new entity acquires activity from a related party

SG de Impuestos sobre las Personas Jurídicas
tipo reducidoentidades de nueva creaciónactividad económicaentidades vinculadastransmisión de actividad LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 5.1LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 18
Affects CompanyExpat · Non-residentIndividual

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