The European Commission today issued a release reporting Spain’s commitment to repeal a tax exemption benefitting Spanish ports as from 2020.
As noted in an EC release, port authorities in Spain are currently exempt from corporate income tax on their main sources of revenue—including port fees or income from rental or concession contracts. In the Basque Country, port authorities are currently fully exempt from corporate income tax.
In January 2019, the EC invited Spain to revise the rules so that ports, as from 1 January 2020, would pay corporate tax in the same way as other companies in Spain and in line with EU state aid rules. Spain has agreed to amend its corporate income tax legislation to bring it in line with EU state aid rules. The Spanish authorities have committed to subject Spanish ports, including those located in the Basque Country, to the normal corporate income tax rules as from 2020.
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