The Spanish Exporters Club considers it necessary to return to the 100% exemption of dividends and capital gains generated abroad

In addition to introducing the deductibility of negative income in the same year

The Exporters and Investors Club emphasizes that “fiscal policy was in the past a very important stimulus for the internationalization of Spanish companies, and today that same policy is discouraging international activity.”

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La Board of Directors of the Exporters and Investors Club has approved a document prepared by the 14 experts of its Reflection Committee on Internationalization, which highlights the negative influence of the fiscal policy developed in recent years on the loss of Spain's share in the international market.

The Club points out that this circumstance generates great concern, as The export of goods and services is the main engine of the Spanish economy, representing 41% of GDP and maintaining 4,6 million jobs.

He warns that while the countries around us are reducing taxes, in Spain taxes on companies are increasing and Social Security contributions are increasing. To this is added that Property taxation is the highest in the European Union and the entire OECD, while the new taxes created on banking, energy or large fortunes have generated new uncertainties.

 

The current fiscal policy represents a deterioration in the international competitiveness of companies, discourages foreign investment and increases regulatory uncertainty.

 

Proposed measures

 

The Exporters and Investors Club emphasizes that “In the past, fiscal policy was a very important stimulus for internationalization of Spanish companies, and today that same policy is discouraging international activity.”

For this reason, the organization that defends the interests of Spanish exporters considers it necessary to return to the 100% exemption of dividends and capital gains generated abroad, as well as simplifying its application.

On the other hand, the Club points out that there are countries that do not correctly apply the Double Taxation Agreements, which harms Spanish companies both in those countries and in Spain. Furthermore, the Club's experts recommend expanding the network of double taxation agreements, citing as an example the cases of Peru or Angola.

Another measure suggested in the document is to reintroduce the deductibility of negative income from permanent establishments abroad in the tax period itself, to bring us into line with community partners.

The catalog of proposals in the fiscal field would be completed with the authorization of new deductions for internationalization expenses (fairs, hiring of specialized personnel or adaptation of products to foreign markets) and for making admissible invoices issued abroad that comply with the formal requirements of the country of issue, and not necessarily with the Spanish requirements (which has already been recognized by jurisprudence).

Apart from this battery of tax innovations, the Club insists on simplifying the bureaucracy that compliance with tax obligations entails for companies, for example, simplifying the exemption for work carried out abroad by Spanish companies, reducing the administrative burden and bureaucratic, or promoting legal certainty and adjusting inspection actions to the letter and spirit of the Law.