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The period has begun to file form 232, the informative return on related-party transactions and transactions or situations relating to countries or territories classified as tax havens, for the tax periods ending on the 31/12/2019.

Taxpayers that are subject to the Corporate Tax (companies in general) and carry out related-party transactions must file this informative return. We would like to remind you about the main related-party cases:

A company and its partners or shareholders (at least, 25% of the shareholding).

A company and its board members or managers, except with regard to remuneration for carrying out their duties.

A company and spouses or other individuals related to the partners, shareholders, board members or managers by kinship, in a direct or collateral line, by consanguinity or affinity, up to the third degree.

Two entities that belong to the same corporate group.

A company and the board members or directors of another company, when both companies belong to the same group.

A company and another company in which the former indirectly holds at least 25% of the share capital or corporate equity of the latter.

Two companies in which the partners or shareholders themselves, their spouses or those related by kinship, in a direct or collateral line, by consanguinity or affinity up to the third degree, own, directly or indirectly, at least 25% of the share capital or corporate equity.

A company that has its registered office in Spain and its permanent establishments abroad.

Which transactions must be declared in the form 232 when related party transactions are carried out?

Transactions carried out with the same related-party person or entity, as long as the amount of the remuneration of all the transactions in the tax period is more than 250,000 euros.

Specific transactions as long as the amount of each one is more than 100,000 euros (the most important: purchase and sale of property, transfer of shares in unlisted entities, transfer of intangible assets).

Transactions carried out with the same related-party person or entity, of the same kind and with the same valuation method, as long as the amount of the remuneration is more than 50% of the company’s turnover.

Transactions carried out between entities of the same tax consolidation group do not have to be included in the form 232.

Transactions and situations related to countries or territories classified as tax havens must also be included in the form 232.

Method and period to submit the form: The form must be filed online, in the eleventh month subsequent to the end of the tax period in question.

Therefore the deadline to file the form 232 concerning the tax periods ending on the 31/12/2019 is the 30/11/2020.