EU: Taxation of ports in Italy and Spain - KPMG Global
close
Share with your friends

EU: EC decisions recommending taxation of ports in Italy and Spain

EU: Taxation of ports in Italy and Spain

The European Commission today announced it has requested that Italy and Spain align their taxation of ports with state aid rules.

1000

Related content

As noted in the EC release:

  • In Italy, ports are fully exempt from corporate income tax.
  • In Spain, ports are exempt from corporate income tax on their main sources of revenue, such as port fees or income from rental or concession contracts. In the Basque Country, ports are fully exempt from corporate tax.

In April 2018, the EC informed Italy and Spain of its concerns regarding their regimes for the taxation of ports. The EC’s preliminary view was that, in both Italy and Spain, the existing tax regimes provide the ports with a selective advantage that may breach EU state aid rules. Accordingly, the EC has “invited” Italy and Spain to adopt measures so that ports, as from 1 January 2020, will pay corporate tax in the same way as other companies in Italy and Spain. Each country now has two months to react.

The EC decisions today follow recent EC action requiring the Netherlands, Belgium and France to repeal exemptions from corporate tax for their ports.

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Want to do business with KPMG?

 

Request for proposal