MARCH 2014

Spanish Main Legislative Changes

Reduced Corporate Tax for maintaining employment: stays at 20% or 25% for businesses with turnover lower than 5M € and less than 25 employees.

New Technologies: investments aimed to encourage the use of new technologies among their employees will not be considered remuneration in kind and may deduct between 1% and 2% of its investment.

The general withholding for non-residents stays at 24,75%; 21% for divividends, real estate capital, and capital gains.

Visas and residency authorizations for economical reasons have been eased to attract investments.

Visas may be obtained by investing in Spanish public debt (2M € minimum) or in Spanish companies or bank (1M €), real estate purchase (0,5M €) or a business project considered for general interests.

These investments may be done from foreign companies, as long as they are not located in countries considered tax heavens.

Residence visas may be renewed eventhough the actual residence periods in Spain be less than 6 months.