Doctrine by topic · DGT Observatory

Business Group: 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 9 rulings · 2015–2026

Current position

Membership in a business group according to Article 42 of the Commercial Code excludes the application of the 15% reduced rate for newly created entities. The existence of a group is determined by unity of decision-making and control, even if the controlling entity is foreign or a holding company.

The DGT maintains a consistent position by linking the existence of a business group to Article 42 of the Commercial Code. Throughout various rulings, this concept has been applied to limit deductions, apply R&D&i limits and, more recently, to deny the 15% reduced rate to new companies that are part of groups.

Turning points

  1. V0596-16

    Distinguishes between the lack of a business group according to the Commercial Code and the existence of a related-party relationship under Article 18.2 LIS (Corporate Income Tax Law), which requires transfers to be valued at market value.

  2. V0979-26

    Establishes that integration into a business group with a foreign entity prevents the use of the 15% reduced rate for newly created entities.

Analysis based on 9 of 9 rulings with a stated position. Updated 29 September 2026.

Rulings on this topic

9
V5475-26 14 Aug 2026

15% reduced rate inapplicable due to membership in a corporate group

SG de Impuestos sobre las Personas Jurídicas
entidades de nueva creacióntipo reducidogrupo mercantilactividad económicaentidad patrimonial LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 5.1LIS — Ley 27/2014 del Impuesto sobre Sociedades art. 18
Affects CompanyExpat · Non-residentIndividual
V0540-16 9 Feb 2016

R&D&i tax deduction limits apply collectively to all entities within a business group

SG de Impuestos sobre las Personas Jurídicas
deducciones por i+d+igrupo mercantilinnovación tecnológicaabono de deduccioneslímite de deducción TRLIS — RDLeg 4/2004 (derogado por la Ley 27/2014) art. 35.1TRLIS — RDLeg 4/2004 (derogado por la Ley 27/2014) art. 35.2
Affects CompanyExpat · Non-residentIndividual
V0118-15 16 Jan 2015

R&D&I tax deduction limits calculated based on all entities within a business group

SG de Impuestos sobre las Personas Jurídicas
deducción por actividades de investigación y desarrolloinnovación tecnológicagrupo mercantillímite de deducciónnormativa foral TRLIS — RDLeg 4/2004 (derogado por la Ley 27/2014) art. 35TRLIS — RDLeg 4/2004 (derogado por la Ley 27/2014) art. 44.2
Affects CompanyExpat · Non-residentIndividual

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