Doctrine by topic · DGT Observatory
How the DGT's position on this topic has evolved, and the rulings it rests on.
Current position
To apply reduced rates, the operator must have tax residence and be truly established in Ceuta or Melilla. Actual establishment is a question of fact that the Administration assesses on a case-by-case basis. It is considered reasonable if three conditions are simultaneously met: that the workforce exceeds 50% at the local headquarters with habitual residence there, that the payroll exceeds 50% at said headquarters, and that intra-group services do not exceed 50% of the total costs.
The DGT's position has remained constant since 2019. All rulings with relevant criteria coincide on the need for tax residence and actual establishment through compliance with three 50% thresholds regarding workforce, payroll, and intra-group services. No changes or nuances in the applied doctrine are observed.
Analysis based on 8 of 8 rulings with a stated position. Updated 2 October 2026.