Understanding Taxes and Business Structures in Spain
Understanding Taxes
Taxes are figures created by law that require certain persons, depending on their ability to pay, to contribute to government revenue (General Tax).
Purpose:
- They are a means to raise revenue.
- They seek a better distribution of national income.
Basic Elements Involved in Tributes:
- Taxable Event: This is the legal or economic budget, fixed by law to set each tax, and whose realization determines the obligation to contribute.
- Taxable Person: The person who contributes to government revenue,
Spanish State Administration: Structure & Functions
The Spanish State Administration: Structure and Functions
Public Business Entities
Certain aspects of its operation about the exercise of public powers are governed by public law. They are funded primarily from revenues derived from its operations and products and proceeds of your estate.
- Example:
- RTVE Public Entity and State Industrial Holdings Company (SEPI), under the Ministry of Economy and Finance.
- Instituto de Credito Oficial (ICO) and the Fábrica Nacional de Moneda y Timbre, under the Ministry
Understanding Inheritance and Gift Tax in Spain
Nature and Scope of Inheritance and Gift Tax
Re: Gravel equity gains obtained for profit (free) or any other right of inheritance (either by inheritance or right).
Territorial Scope
Concerning the entire Spanish territory, the tax transfer to the Autonomous Communities shall be governed by the provisions of the rules governing the Assignment of Taxes of the State to the Autonomous Communities and have the scope and conditions for each. Specifically, its Cession sets that serious inequality may occur.
Read MoreTraffic Violations and Penalties
Article 172: Admonitions for Pedestrians and Cyclists
Pedestrians, cyclists, and drivers of animal-drawn vehicles who violate this Act, its regulations, or resolutions issued by the relevant ministry will be penalized by the competent authority. They must also attend a training course as specified in the Act’s rules.
Article 173: Penalties for Speeding and Reckless Driving
Drivers engaged in speed competitions or reckless driving on public roads will be fined one hundred tax units (100 UT), in addition
Read MoreEU Institutions, Policies, Labor, and Sustainability
EU Institutions
The institutions of the European Union are as follows:
- Council of Europe: The EU’s highest political body, composed of Heads of State, members, and the Chairman of the Committee. Its function is to determine the goals and priorities of the EU.
- Council of the EU: Represents member states, integrated by one minister from each country, with a rotating presidency every six months. Its functions include adopting laws and the budget, and developing EU foreign policy.
- European Commission: Represents
New Enterprise Limited Partnership in Spain
The New Company Limited Partnership (SLNE)
The SLNE was created in 2003 by Law 7/2003 of April 1st, the New Enterprise Limited Partnership, which incorporated a new chapter to the LSL. It is a subtype or a specialty of SL, established to facilitate the creation of new commercial companies, particularly small and medium enterprises (SMEs). Its creation was promoted by the European Commission, recommending simplified procedures for company establishment to encourage entrepreneurship. To this end, the
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