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06-15-2020
Garrigues has been publishing this newsletter since March 23 in an effort to bring you all the regulatory matters that week in week out required particular attention by companies in every area of business law. Since the state of emergency is about to finish, this will be the last edition of a publication that we hope has served its purpose. From now on, we will continue to keep you informed in our usual formats (Alerts, Commentaries, Viewpoints or Newsletters).
06-01-2020
Preparation of financial statements and corporate income tax, recommencement of time periods, remote trials, gradual return to workplaces, insolvency proceedings and compliance with criminal law
05-18-2020
New guarantee facility, extension of ERTE temporary layoff procedures, effects of the crisis on transfer pricing, return to judicial activity and ‘shields’ for businesses.
Corporate Law and Commercial Contracts
03-22-2021
One year after the state of emergency was declared in Spain due to the spread of COVID-19, Garrigues analyzes the regulatory changes companies face both now and post-pandemic.
01-27-2021
Managing and administrative bodies of business and civil legal entities may as an exception in 2021 hold meetings by phone or remotely or take action by written consent without holding a meeting, even where not expressly permitted by their bylaws.
01-05-2021
Spain’s Strategic Projects for Economic Transformation and Recovery (PERTEs) could bring a considerable wave of projects in Spain. They are a new public-private partnership device appearing in the recent legislation on the Spanish Recovery, Transformation and Resilience Plan and to be funded by subsidies and loans from the European Recovery Mechanism (Next Generation EU), which in Spain's case are estimated to amount to €140,0000 million. Professionals practicing in projects and in the particular area of project finance should keep track of how they are taken forward and evolve.
12-23-2020
The Official State Bulletin of December 23, 2020 carried notice of Royal Decree-Law 35/2020, of December 22, 2020, on urgent measures to support the tourism and hotel industries and trade and in relation to tax matters (RDL 35/2020), articles 1 through 6 of which include certain measures affecting non-residential lease agreements.
12-21-2020
2020 has been a year like no other. The world health emergency caused by the spread of COVID-19 and the resulting declaration of a state of emergency (lockdown) in Spain in March 2020 brought an unprecedented whirl of legislative activity. Companies have now been placed in an uncertain scenario where decision-making is the key to the future survival of their businesses. Over these months the Garrigues Special COVID-19 team have tried to provide answers to many of the questions that have arisen in the new context. Now that this traumatic 2020 is drawing to an end, we review and look back on the main legal matters of the year, from every angle of business law, while looking towards 2021 and picking out the most important trends to watch in the new year.
11-19-2020
Royal Decree-Law 34/2020, of November 17, 2020, on urgent measures to support business solvency and the energy sector, and on tax matters (RDL 34/2020), published in the Official State Gazette (BOE) on 18 November 2020, further extends the term for the granting of ICO guarantee facilities relating to commercial paper notes traded on the Spanish Alternative Fixed Income Market (MARF) and introduces amendments to the Spanish Securities Market Law.
11-18-2020
Royal Decree-Law 34/2020, of November 17, 2020, on urgent measures to support the solvency of businesses and support the energy sector, and in the tax field (“RDL 34/2020”) published in the Official State Gazette (BOE) on November 18, 2020, broadens the suspension regime to include investments from the European Union or European Free Trade Association countries and amends certain components of the suspension of the deregulation regime for other direct foreign investments. The new legislation will come into force on November 19, 2010.
11-18-2020
The November 18, 2020 edition of the Official State Gazette (BOE) published Royal Decree-Law 34/2020, of November 17, 2020, on urgent measures to support the solvency of businesses and support the energy sector, as well as in the tax field. Approved measures include an extension until December 31, 2021 of remote attendance at meetings of the corporate bodies of capital companies (defined as all those governed by Legislative Royal Decree 1/2010, of July 2, 2010), civil-law partnerships (sociedad civil), cooperative companies, associations and foundations.
06-18-2020
The various pieces of legislation published during the state of emergency, together with the statements by registrars and by the CNMV, have created a new exceptional regime governing numerous aspects of commercial companies. With the end of the state of emergency it becomes necessary to analyze the impact that the lifting of the declaration will have on the validity period of the various rules that have been approved.
06-16-2020
Andalucía has introduced a new legal regime for tourist accommodation in order to boost a sector that has suffered from the consequences of the pandemic Among the measures adopted, it is worth to highlight the new classification system; recovery of the ‘Grand Luxe’ rating; the possibility to use certain types of establishments, including student residences, temporarily as tourist accommodation; a new definition of tourist accommodation contract; or the inclusion of hostels as hotel establishments.
06-15-2020
Garrigues has been publishing this newsletter since March 23 in an effort to bring you all the regulatory matters that week in week out required particular attention by companies in every area of business law. Since the state of emergency is about to finish, this will be the last edition of a publication that we hope has served its purpose. From now on, we will continue to keep you informed in our usual formats (Alerts, Commentaries, Viewpoints or Newsletters).
06-01-2020
Preparation of financial statements and corporate income tax, recommencement of time periods, remote trials, gradual return to workplaces, insolvency proceedings and compliance with criminal law
05-27-2020
Royal Decree-Law 19/2020 states that the three-month time period for preparing financial statements and other documents required by law will start to run from June 1, 2020, and reduces the time period for approving financial statements to two months running from the end of the time period for their preparation. In keeping with the new time periods for preparation and approval of the financial statements, it is allowed to file a second corporate income tax self-assessment until November 30, 2020. Additionally, amendments are introduced to the rules on tax deferrals for small and medium-sized companies and the self-employed along with a new stamp tax exemption; and a later date has been determined for publication of the list of delinquent tax payers.
05-18-2020
New guarantee facility, extension of ERTE temporary layoff procedures, effects of the crisis on transfer pricing, return to judicial activity and ‘shields’ for businesses.
05-13-2020
Royal Decree-Law 18/2020 determines that the distribution of dividends at companies applying for the special ERTE temporary layoff procedures can make them lose their rights to exemption from social security contributions and states that this measure will not be taken into account for the purpose of exercising the right to withdrawal of shareholders under article 348 bis 1 of the Capital Companies Law.
05-11-2020
El pasado 9 de mayo de 2020 el BOE recogió la Resolución de 6 de mayo de 2020, de la Secretaría de Estado de Economía y Apoyo a la Empresa, por la que se publicó el Acuerdo del Consejo de Ministros de 5 de mayo de 2020 que estableció los términos y condiciones del tercer tramo de la línea de avales a préstamos concedidos a empresas y autónomos, a los pagarés incorporados al Mercado Alternativo de Renta Fija (MARF) y a los reavales concedidos por la Compañía Española de Reafianzamiento, SME, Sociedad Anónima (CERSA).
05-11-2020
On May 8, 2020 the European Commission announced a second amendment to the Temporary Framework adopted on March 19, 2020, amended for the first time on April 3, 2020, in which the framework is extended to allow aid to be authorized in the form of recapitalization or subordinated debt to any non-financial companies in need.
05-11-2020
Phase 1 of the ‘scaling-down’ process, third tranche of guarantees, extension of ERTE temporary layoffs, potential delay in the application of VAT directives and of DAC6, and measures to support the cultural sector
05-11-2020
During the state of emergency, various pieces of legislation have been published which affect the corporate bodies of companies. Some of the key new provisions affect matters relating to winding up and shareholders’ right of withdrawal.
05-11-2020
Royal Decree 494/2020, of April 28, 2020, amends the system of control of foreign trade and, among other measures, provides the Inter-ministerial Regulatory Board on Foreign Trade in Defense and Dual Use Goods (JIMDDU) with greater functions, having the authority also to establish, on an exceptional basis, mechanisms for verification, monitoring and cooperation in relation to goods exported in certain transactions even with the involvement of the government of the importing country.
05-04-2020
The various pieces of legislation published during the state of emergency, together with statements by registrars and by the CNMV, have created a new exceptional regime governing the corporate bodies of commercial companies, which makes it necessary to structure this new legislation, by summarizing the measures and their implications depending on the body concerned and making a distinction between listed and unlisted companies.
05-04-2020
Reopening to the public of establishments, effects of RDL 16/2020 on procedural, insolvency and tax matters, labor measures in preparation for de-escalation and news on administrative procedures
04-29-2020
We analyze Royal Decree-Law 16/2020, of April 28, 2020, published in the April 29 edition of the Official State Gazette (BOE), adopting procedural and organizational measures to confront COVID-19 (RDL 16/2020). And entering into force on April 30, 2020 (the day after its publication in the Official State Gazette).
04-27-2020
Critical plans for a return to activity, taxes on the renegotiation of loans, notification of judicial decisions, and doubts regarding leases
04-27-2020
We analyze certain doubts about interpretation arising from some of the provisions enacted due to the crisis caused by COVID-19 in relation to leases.
04-22-2020
Below we summarize some of the specific measures adopted in relation to medical devices by the main European and Spanish authorities. These measures are part of the set of new pieces of legislation affecting the pharmaceutical and healthcare industry as a result of the crisis caused by the impact of the COVID-19 virus, which are being analyzed by the firm.
04-22-2020
We analyze from the standpoint of corporate law/commercial contracts, labor, tax, litigation and administrative law, the main new legislation introduced by Royal Decree-Law 15/2020, of April 21, 2020, adopting additional urgent measures to support the economy and employment (RDL 15/2020), published in the Official State Gazette -BOE- on April 22, 2020.
04-20-2020
For another week running, Garrigues examines the key legal issues that companies should be aware of to continue forward in the current context.
04-13-2020
The situation created by the spread of COVID-19 requires an analysis of the new legislation from all angles of business law. For another week running, Garrigues summarizes the key new legislation that companies need to be aware of over the coming days. This week, the labor landscape features the return to non-essential activities, together with a few new measures such as deferred payment of social security contributions or the ability to combine agricultural activity with unemployment subsidies and benefits. In the tax field, besides paying close attention to new tax legislation in Spain and elsewhere, there other elements needing to be considered such as the issue of renegotiating commercial lease agreements which may trigger tax costs. In relation to administrative law, businesses need to keep sight of the new legislation on administrative and procedural time periods. And on the subject of litigation and arbitration, this week we look at how COVID-19 will impact international contracts, and the opportunity provided by mediation as an alternative route for dispute resolution in the current context.
04-06-2020
A constant stream of new legislation is being approved that affects businesses. Every week Garrigues provides a summary of the main issues that companies need to take a look at over the coming days. This week we feature the new legislation approved on financial and contractual moratoriums and deferrals, the new labor measures or the VAT exemption and customs duty relief on importations of goods to combat the epidemic, together with the advisability of reviewing and analyzing companies’ financial and net worth positions. We also discuss the potential financial liability of the state.
04-06-2020
The Spanish Accounting and Audit Institute (ICAC - Instituto de Contabilidad y Auditoría) replied, on April 2, 2020, to the request for an audit determination on the effect of the public health crisis and Royal Decree-Law 8/2020, of March 17, 2020 (on urgent extraordinary measures to confront the economic and social impact of COVID-19) in relation to the preparation, verification and approval process for the financial statements (RDL), and its amendment by final provision one, point thirteen, of Royal Decree-Law 11/2020, of March 31, 2020 (RDL 11/2020).
04-06-2020
On April 3, 2020 the European Commission announced the adoption of an amendment extending and adding flexibility to the Temporary Framework adopted on March 19, 2020 to enable Member States to give State aid for research, testing and production of coronavirus related products, and also to grant greater volumes of aid in under the categories already allowed in under the original Temporary Framework.
04-01-2020
We analyze the measures introduced by Royal Decree-Law 11/2020, from every angle of business law: corporate/commercial contracts, tax, labor and employment, restructuring and insolvency, procedures and administrative law.
04-01-2020
Over the past weeks, Spanish companies and credit applicants from all industries, both essential and non-essential, have been implementing strategies in order to try, as far as they can in the circumstances, to ensure liquidity and minimize the impact of COVID-19 on their activity. This includes a number of measures in all areas of the business, which are in turn conditioned by the measures implemented by the Spanish government and other supra-national, national, autonomous community and local authorities. All these measures and every new piece of legislation can be tracked in our special 'Companies facing the coronavirus COVID-19'.
03-30-2020
The toughening of lockdown measures in Spain and resulting closure of all business activities not classed as essential makes it absolutely necessary to keep very much in sight this week the measures approved in the labor and employment field. In the domain of corporate law and commercial contracts, the decision governing the first tranche of guarantees to soften the economic effects of the crisis has already been published in the Spanish Official State Gazette (BOE). As for tax matters, the personal income tax and wealth tax season is about to start. In the litigation arena, the general statute of limitations for personal action has been extended. And there are also important mobility and transport, and restructuring and insolvency issues and matters related to administrative law.
03-26-2020
In this article we offer a few recommendations to assist the self-employed and companies with fulfilling the general requirements laid down by the decision for accessing this new financing, and so speed up application procedures at financial institutions.
03-26-2020
In the context of the extraordinary situation stemming from the COVID-19 health crisis, the Spanish Registrars’ Association and the Spanish National Securities Market Commission (CNMV) issued a joint statement on March 26, 2020, in which they consider that, as regards financial statements and the proposed allocation of profit/loss, companies may, among other alternatives, choose to proceed as follows:
03-26-2020
This guarantee facility is to be managed by ICO and will cover new loans and other types of financing provided by financial institutions to companies and the self-employed to soften the economic effects of COVID-19.
03-23-2020
Some of the measures adopted in recent weeks to tackle the economic and social impact of COVID-19 have special implications for the healthcare and pharmaceutical industry. In this article we analyze the key information that companies in this field need to take into account.
03-23-2020
The global health alert triggered by the spread of the new coronavirus known as SARS-CoV-2, which causes the disease COVID-19, is creating great challenges for companies. Governments around the world are tackling the situation by approving drastic measures to try to mitigate the effects of the health crisis first and the economic crisis second. In this context, at Garrigues we have put together – from the standpoint of all of the practice areas of business law – an overview of the key issues that companies in Spain should take into account in the coming days and weeks.
03-18-2020
The March 18, 2020 edition of the Official State Gazette has published Royal Decree-Law 8/2020 of March 17, 2020 on urgent and extraordinary measures to confront the economic and social impact of COVID-19. The decree-law comes into force on its publication date, for a one-month term, and allows this term to be extended.
03-15-2020
On March 14 Royal Decree 463/2020 was published declaring a state of emergency to manage the COVID-19 public health crisis (“the Royal Decree”).
02-28-2020
The impact of the health crisis on the business world may have consequences from a contractual, litigation, employment, regulatory and even criminal perspective. The broad range of cases must be addressed individually from a multidisciplinary legal perspective.
Labor Law
02-23-2022
The Government and social partners have reached an agreement to extend temporary layoffs and other relevant measures from a labor law standpoint. In addition, the increase in the minimum wage has been published in the Official State Gazette.
08-06-2021
Post from Garrigues' Labor blog.
05-28-2021
Following the V Social Dialogue Agreement reached between the Government, the labor union organizations UGT and CC.OO. and the employers’ associations CEOE and CEPYME, Royal Decree-law 11/2021, of May 27, on urgent measures for the defense of employment, economic reactivation and the protection of self-employed workers, has been published today, May 28.
03-22-2021
One year after the state of emergency was declared in Spain due to the spread of COVID-19, Garrigues analyzes the regulatory changes companies face both now and post-pandemic.
01-27-2021
Royal Decree-Law 2/2021, of January 26, 2021, on reinforcing and consolidating social protection measures to defend employment has been published following the IV Social Protection Agreement to Defend Employment reached between the government, Spanish unions UGT and CC.OO. and employers’ associations CEOE and CEPYME.
12-21-2020
2020 has been a year like no other. The world health emergency caused by the spread of COVID-19 and the resulting declaration of a state of emergency (lockdown) in Spain in March 2020 brought an unprecedented whirl of legislative activity. Companies have now been placed in an uncertain scenario where decision-making is the key to the future survival of their businesses. Over these months the Garrigues Special COVID-19 team have tried to provide answers to many of the questions that have arisen in the new context. Now that this traumatic 2020 is drawing to an end, we review and look back on the main legal matters of the year, from every angle of business law, while looking towards 2021 and picking out the most important trends to watch in the new year.
09-22-2020
The social agents (Government, Trade Unions and Employers' Associations) have announced that they have reached an agreement on the regulation of labor relations exercised remotely on a regular basis, which content has been approved by the Council of Ministers on Tuesday 22nd September and published in a royal decree-law on Wednesday 23rd.
06-15-2020
Garrigues has been publishing this newsletter since March 23 in an effort to bring you all the regulatory matters that week in week out required particular attention by companies in every area of business law. Since the state of emergency is about to finish, this will be the last edition of a publication that we hope has served its purpose. From now on, we will continue to keep you informed in our usual formats (Alerts, Commentaries, Viewpoints or Newsletters).
06-01-2020
Preparation of financial statements and corporate income tax, recommencement of time periods, remote trials, gradual return to workplaces, insolvency proceedings and compliance with criminal law
05-18-2020
New guarantee facility, extension of ERTE temporary layoff procedures, effects of the crisis on transfer pricing, return to judicial activity and ‘shields’ for businesses.
05-13-2020
Royal Decree-Law 18/2020 allows ERTE layoff procedures due to force majeure to be extended until June 30, 2020 and also specifies, among others, an extension of the term for relief from social security contributions and for the job retention clauses, in addition to placing certain restrictions on dividend distributions at companies that have implemented an ERTE temporary layoff procedure. The provision not allowing dismissals on grounds related to COVID-19 to be held justified is also extended until June 30, 2020.
05-11-2020
Phase 1 of the ‘scaling-down’ process, third tranche of guarantees, extension of ERTE temporary layoffs, potential delay in the application of VAT directives and of DAC6, and measures to support the cultural sector
05-04-2020
Reopening to the public of establishments, effects of RDL 16/2020 on procedural, insolvency and tax matters, labor measures in preparation for de-escalation and news on administrative procedures
04-29-2020
We analyze Royal Decree-Law 16/2020, of April 28, 2020, published in the April 29 edition of the Official State Gazette (BOE), adopting procedural and organizational measures to confront COVID-19 (RDL 16/2020). And entering into force on April 30, 2020 (the day after its publication in the Official State Gazette).
04-27-2020
Critical plans for a return to activity, taxes on the renegotiation of loans, notification of judicial decisions, and doubts regarding leases
04-22-2020
We analyze from the standpoint of corporate law/commercial contracts, labor, tax, litigation and administrative law, the main new legislation introduced by Royal Decree-Law 15/2020, of April 21, 2020, adopting additional urgent measures to support the economy and employment (RDL 15/2020), published in the Official State Gazette -BOE- on April 22, 2020.
04-20-2020
For another week running, Garrigues examines the key legal issues that companies should be aware of to continue forward in the current context.
04-13-2020
The situation created by the spread of COVID-19 requires an analysis of the new legislation from all angles of business law. For another week running, Garrigues summarizes the key new legislation that companies need to be aware of over the coming days. This week, the labor landscape features the return to non-essential activities, together with a few new measures such as deferred payment of social security contributions or the ability to combine agricultural activity with unemployment subsidies and benefits. In the tax field, besides paying close attention to new tax legislation in Spain and elsewhere, there other elements needing to be considered such as the issue of renegotiating commercial lease agreements which may trigger tax costs. In relation to administrative law, businesses need to keep sight of the new legislation on administrative and procedural time periods. And on the subject of litigation and arbitration, this week we look at how COVID-19 will impact international contracts, and the opportunity provided by mediation as an alternative route for dispute resolution in the current context.
04-06-2020
A constant stream of new legislation is being approved that affects businesses. Every week Garrigues provides a summary of the main issues that companies need to take a look at over the coming days. This week we feature the new legislation approved on financial and contractual moratoriums and deferrals, the new labor measures or the VAT exemption and customs duty relief on importations of goods to combat the epidemic, together with the advisability of reviewing and analyzing companies’ financial and net worth positions. We also discuss the potential financial liability of the state.
04-01-2020
We analyze the measures introduced by Royal Decree-Law 11/2020, from every angle of business law: corporate/commercial contracts, tax, labor and employment, restructuring and insolvency, procedures and administrative law.
03-30-2020
The toughening of lockdown measures in Spain and resulting closure of all business activities not classed as essential makes it absolutely necessary to keep very much in sight this week the measures approved in the labor and employment field. In the domain of corporate law and commercial contracts, the decision governing the first tranche of guarantees to soften the economic effects of the crisis has already been published in the Spanish Official State Gazette (BOE). As for tax matters, the personal income tax and wealth tax season is about to start. In the litigation arena, the general statute of limitations for personal action has been extended. And there are also important mobility and transport, and restructuring and insolvency issues and matters related to administrative law.
03-29-2020
This measure will not apply to the activities and cases listed in the annex to the royal decree-law, or to employees who are already working remotely or employees of any companies that have already applied for or are implementing a temporary layoff with suspension of contracts or are authorized to carry out a temporary layoff with suspension of contracts while the leave set out in this royal decree-law is in place.
03-28-2020
Royal Decree-Law 9/2020, including a number of additional measures to Royal Decree-Law 8/2020, has been published and contains provisions on the application process for unemployment benefit, the monitoring of temporary layoffs (ERTEs) or the tolling of terms of temporary contracts.
03-23-2020
The global health alert triggered by the spread of the new coronavirus known as SARS-CoV-2, which causes the disease COVID-19, is creating great challenges for companies. Governments around the world are tackling the situation by approving drastic measures to try to mitigate the effects of the health crisis first and the economic crisis second. In this context, at Garrigues we have put together – from the standpoint of all of the practice areas of business law – an overview of the key issues that companies in Spain should take into account in the coming days and weeks.
03-18-2020
The March 18, 2020 edition of the Official State Gazette has published Royal Decree-Law 8/2020 of March 17, 2020 on urgent and extraordinary measures to confront the economic and social impact of COVID-19. The decree-law comes into force on its publication date, for a one-month term, and allows this term to be extended.
03-15-2020
The suspension of the opening to the public of premises and commercial establishments is established in general. It has also been announced that measures will be approved relating to temporary layoffs and aid for companies, self-employed workers and families.
02-28-2020
The impact of the health crisis on the business world may have consequences from a contractual, litigation, employment, regulatory and even criminal perspective. The broad range of cases must be addressed individually from a multidisciplinary legal perspective.
Tax Law
03-22-2021
One year after the state of emergency was declared in Spain due to the spread of COVID-19, Garrigues analyzes the regulatory changes companies face both now and post-pandemic.
12-21-2020
2020 has been a year like no other. The world health emergency caused by the spread of COVID-19 and the resulting declaration of a state of emergency (lockdown) in Spain in March 2020 brought an unprecedented whirl of legislative activity. Companies have now been placed in an uncertain scenario where decision-making is the key to the future survival of their businesses. Over these months the Garrigues Special COVID-19 team have tried to provide answers to many of the questions that have arisen in the new context. Now that this traumatic 2020 is drawing to an end, we review and look back on the main legal matters of the year, from every angle of business law, while looking towards 2021 and picking out the most important trends to watch in the new year.
09-16-2020
The COVID-19 outbreak at the beginning of 2020 has caused an unprecedented worldwide crisis, first in healthcare, later in the economy. On the subject of the economy, although there has been much discussion about the various ways and times that the impatiently awaited recovery will occur, there are no signs of it happening in the short term, and the pandemic’s effects on the economy are likely to be felt for a long time. That also has an impact on transfer pricing, and will have (and is actually already having) important consequences on how controlled transactions are carried out within multinational groups, on how prices are determined in those transactions, and on how these issues must be addressed with the tax authorities.
07-01-2020
To address the impact of the health crisis, on June 24, 2020 the Council of the European Union approved Directive 2020/876/EU, amending the time limits for the filing and exchange of information set out in Council Directive 2011/16/EU (DAC6).
06-24-2020
The June 24 edition of the Official State Gazette published Royal Decree-Law 23/2020, of June 23, 2020, approving measures for economic recovery in the field of energy and in other areas.
06-15-2020
Garrigues has been publishing this newsletter since March 23 in an effort to bring you all the regulatory matters that week in week out required particular attention by companies in every area of business law. Since the state of emergency is about to finish, this will be the last edition of a publication that we hope has served its purpose. From now on, we will continue to keep you informed in our usual formats (Alerts, Commentaries, Viewpoints or Newsletters).
06-15-2020
The tribunal has contradicted the reiterated interpretation of the Directorate-General for Taxes (DGT), in line with the view supported by the Ombudsman in his Recommendation of July 18, 2017.
06-01-2020
Preparation of financial statements and corporate income tax, recommencement of time periods, remote trials, gradual return to workplaces, insolvency proceedings and compliance with criminal law
05-31-2020
As we reported in our commentary dated April 11, 2020 (read here), in the current health crisis commercial lease agreements are being renegotiated due to force majeure.
05-31-2020
Madrid City Council plenary meeting approved on May 29, 2020 an amendment to the local tax laws on real estate tax and the tax on economic activities, to provide new reductions to both.
05-27-2020
Royal Decree-Law 19/2020 states that the three-month time period for preparing financial statements and other documents required by law will start to run from June 1, 2020, and reduces the time period for approving financial statements to two months running from the end of the time period for their preparation. In keeping with the new time periods for preparation and approval of the financial statements, it is allowed to file a second corporate income tax self-assessment until November 30, 2020. Additionally, amendments are introduced to the rules on tax deferrals for small and medium-sized companies and the self-employed along with a new stamp tax exemption; and a later date has been determined for publication of the list of delinquent tax payers.
05-18-2020
New guarantee facility, extension of ERTE temporary layoff procedures, effects of the crisis on transfer pricing, return to judicial activity and ‘shields’ for businesses.
05-17-2020
The current international health emergency is having a huge impact in every area, including tax, and will foreseeably have lasting effects. Transfer pricing is not immune to this situation and its consequences are being felt in elements such as intra-group financing, how controlled transactions are carried out, priced and documented, or the advance pricing agreements concluded with the tax authorities.
05-11-2020
On May 8, 2020 the European Commission announced a second amendment to the Temporary Framework adopted on March 19, 2020, amended for the first time on April 3, 2020, in which the framework is extended to allow aid to be authorized in the form of recapitalization or subordinated debt to any non-financial companies in need.
05-11-2020
Phase 1 of the ‘scaling-down’ process, third tranche of guarantees, extension of ERTE temporary layoffs, potential delay in the application of VAT directives and of DAC6, and measures to support the cultural sector
05-09-2020
The crisis caused by the spread of COVID-19 has led Brussels to propose the entry into force of VAT directives 2017/2455 and 2019/1995 on July 31, 2021; and to propose new time periods for the filing and exchange of information under Council Directive 2011/16/EU (DAC6).
05-09-2020
Article 23 of Personal Income Tax Law 35/2006, of November 28, 2006, states that net income from real estate capital is calculated by deducting certain types of expenses and reductions from gross income. Among the expenses, amounts in respect of the depreciation of the real estate asset may be deducted, subject to conditions determined in the regulations.
05-08-2020
Stalled economic activity as a result of the health crisis is prompting renegotiations of commercial lease agreements due to force majeure, and reductions or deferrals are similarly being negotiated for many other contracts or activities. Here is how we recalled this in our Commentary on April 11 (see here).
05-06-2020
The May 6 edition of the Official State Gazette published Royal Decree-Law 17/2020, of May 5, 2020, approving measures to support the cultural sector and tax measures to confront the social and economic impact of COVID-19.
05-04-2020
Reopening to the public of establishments, effects of RDL 16/2020 on procedural, insolvency and tax matters, labor measures in preparation for de-escalation and news on administrative procedures
05-03-2020
The April 29, 2020 edition of the Official State Gazette -BOE- published Royal Decree-Law 16/2020, of April 28, 2020 on procedural and organizational measures to confront COVID-19 in the justice system, aimed primarily at getting the justice system ready for a return to normal operations by the courts and tribunals, finding a quick way through the build-up of proceedings suspended by the declaration of the state of emergency, and adopting measures to cope with an increase in lawsuits as a result of the extraordinary measures that have been adopted and of the economic climate arising from the health crisis.
04-29-2020
We analyze Royal Decree-Law 16/2020, of April 28, 2020, published in the April 29 edition of the Official State Gazette (BOE), adopting procedural and organizational measures to confront COVID-19 (RDL 16/2020). And entering into force on April 30, 2020 (the day after its publication in the Official State Gazette).
04-27-2020
Critical plans for a return to activity, taxes on the renegotiation of loans, notification of judicial decisions, and doubts regarding leases
04-27-2020
Commission Decision (EU) 2020/491 of April 3 granted import duty relief and a VAT exemption in respect of imports of necessary goods to combat the effects of the COVID-19 outbreak.
04-27-2020
Halted economic activity and a continued decline in revenues in the business sector as a result of COVID-19 have, in the same way as in the 2008 crisis, compelled companies to refinance or renegotiate debts (secured by mortgages in a few cases) with financial institutions or other lenders. In this scenario it has again become important to analyze the potential effects of those mortgage novations in relation to the ad valorem stamp tax payment.
04-22-2020
We analyze from the standpoint of corporate law/commercial contracts, labor, tax, litigation and administrative law, the main new legislation introduced by Royal Decree-Law 15/2020, of April 21, 2020, adopting additional urgent measures to support the economy and employment (RDL 15/2020), published in the Official State Gazette -BOE- on April 22, 2020.
04-20-2020
For another week running, Garrigues examines the key legal issues that companies should be aware of to continue forward in the current context.
04-20-2020
As we recalled in our alert on April 15 (see here), companies that have already elected the REDEME monthly refund scheme have a few days left for electing this scheme with effect in their April returns (a few more days for those filing quarterly returns and have revenues not higher than €600,000, with effect in the first quarter of 2020).
04-20-2020
On April 15, 2020, the Official State Gazette -BOE- published Royal Decree-Law 14/2020, of April 14, 2020, extending the filing and payment deadline for certain tax returns and self-assessments (see our alert). This extension benefits taxpayers that had revenues not higher than €600,000 in 2019 and relates to returns to be filed between April 15 and May 20 2020.
04-20-2020
As a result of the economic circumstances caused by the health crisis, a great many companies are implementing temporary layoff procedures for suspension of work or reduction of hours, based on force majeure grounds or economic, technical, organizational or production-related grounds. Aside from the labor and social security implications of these types of procedures, there may be important tax implications that need to be considered by workers and by companies.
04-16-2020
The health crisis created by the spread of COVID-19 has led governments worldwide to adopt tax measures in an attempt to soften the economic effects for individuals and companies. In this new context, Garrigues has been preparing and sending alerts and commentaries analyzing the legislation with tax implications announced and published in various jurisdictions where the firm operates.
04-15-2020
On April 15, 2020, the Official State Gazette -BOE- published Royal Decree-Law 14/2020, of April 14, 2020, extending the filing and payment deadline for certain tax returns and self-assessments. This extension benefits small and medium-sized companies and the self-employed, and relates to returns to be filed between April 15 and May 20, 2020.
04-13-2020
The situation created by the spread of COVID-19 requires an analysis of the new legislation from all angles of business law. For another week running, Garrigues summarizes the key new legislation that companies need to be aware of over the coming days. This week, the labor landscape features the return to non-essential activities, together with a few new measures such as deferred payment of social security contributions or the ability to combine agricultural activity with unemployment subsidies and benefits. In the tax field, besides paying close attention to new tax legislation in Spain and elsewhere, there other elements needing to be considered such as the issue of renegotiating commercial lease agreements which may trigger tax costs. In relation to administrative law, businesses need to keep sight of the new legislation on administrative and procedural time periods. And on the subject of litigation and arbitration, this week we look at how COVID-19 will impact international contracts, and the opportunity provided by mediation as an alternative route for dispute resolution in the current context.
04-13-2020
Following Decision (EU) 2020/491 (see our commentary), the Customs Department updates its instructions for claiming import duty relief and VAT exemption on the importation of goods needed to combat the effects of the Covid-19 outbreak.
04-11-2020
The COVID-19 crisis and resulting halt in economic activity in certain sectors is leading in a few cases to the renegotiation of commercial lease agreements on the ground of force majeure.
04-06-2020
A constant stream of new legislation is being approved that affects businesses. Every week Garrigues provides a summary of the main issues that companies need to take a look at over the coming days. This week we feature the new legislation approved on financial and contractual moratoriums and deferrals, the new labor measures or the VAT exemption and customs duty relief on importations of goods to combat the epidemic, together with the advisability of reviewing and analyzing companies’ financial and net worth positions. We also discuss the potential financial liability of the state.
04-06-2020
Royal Decree-Law 11/2020, of March 31, 2020, has provided answers to a few doubts that had arisen concerning the rules on calculating certain time periods for tax procedures, following the suspension measures approved in recent weeks; though not every question on this subject has been answered.
04-06-2020
On April 3, 2020 the European Union published Decision (EU) 2020/491, granting relief from import duties and VAT exemption on importation granted for goods needed to combat the effects of COVID-19. This Decision resulted from the requests sent by the member states since on January 30 the outbreak was declared a public health emergency.
04-06-2020
On April 3, 2020 the European Commission announced the adoption of an amendment extending and adding flexibility to the Temporary Framework adopted on March 19, 2020 to enable Member States to give State aid for research, testing and production of coronavirus related products, and also to grant greater volumes of aid in under the categories already allowed in under the original Temporary Framework.
04-03-2020
Article 7.e) of the Spanish Personal Income Tax Law (Law 35/2006, of November 28, 2006) allows an exemption in relation to severance payments for dismissal or removal, where the following requirements are met:
04-02-2020
The Spanish Customs and Excise and Special Taxes Department has published new information note NI GA 11/2020, expanding to any type of operator duty relief and VAT exemption on imports of medical supplies for donation, provided that certain requirements are met.
04-01-2020
We analyze the measures introduced by Royal Decree-Law 11/2020, from every angle of business law: corporate/commercial contracts, tax, labor and employment, restructuring and insolvency, procedures and administrative law.
03-31-2020
Due to the situation caused by the spread of COVID-19, abundant legislation is being published with tax implications, and in other areas, aimed at softening the effects of the situation created for companies and citizens.
03-31-2020
The Spanish Customs Department has published a new note NI GA 08/2020 (click here for the information note) concerning border controls on imports of personal protective equipment, masks and other medical supplies, which replaces the previously issued note (NI GA O7/2020) and which we already summarized in our alert of March 26, 2020 (click here for our previous alert), to clarify doubts regarding its application.
03-30-2020
The toughening of lockdown measures in Spain and resulting closure of all business activities not classed as essential makes it absolutely necessary to keep very much in sight this week the measures approved in the labor and employment field. In the domain of corporate law and commercial contracts, the decision governing the first tranche of guarantees to soften the economic effects of the crisis has already been published in the Spanish Official State Gazette (BOE). As for tax matters, the personal income tax and wealth tax season is about to start. In the litigation arena, the general statute of limitations for personal action has been extended. And there are also important mobility and transport, and restructuring and insolvency issues and matters related to administrative law.
03-27-2020
In view of the cash pressures that the current state of emergency may create, it is advisable to bring forward analysis of returns to file them as soon as possible (if a refund of tax is due) and evaluate, in any case all potential tax benefits to be applied.
03-26-2020
The note clarifies the border control measures for personal protective equipment, masks and other medical supplies.
03-24-2020
On March 23, 2020, the Spanish Customs Department published Note NI GA 06/2020 on the application of reliefs from custom duty and exemption from import VAT by authorized public entities and private bodies of a charitable or philanthropic nature with respect to goods needed to treat persons affected by COVID-19 and to prevent its spread.
03-23-2020
The global health alert triggered by the spread of the new coronavirus known as SARS-CoV-2, which causes the disease COVID-19, is creating great challenges for companies. Governments around the world are tackling the situation by approving drastic measures to try to mitigate the effects of the health crisis first and the economic crisis second. In this context, at Garrigues we have put together – from the standpoint of all of the practice areas of business law – an overview of the key issues that companies in Spain should take into account in the coming days and weeks.
03-22-2020
Once again this year, personal income taxpayers and corporate income taxpayers who owned assets and rights situated abroad on December 31, 2019 could be under the obligation to file the informational return on assets and rights situated abroad (form 720) prior to March 31, 2020.
03-22-2020
The deadline by which to file the form related to the April 2020 prepayment of corporate income tax and of nonresident income tax (for non-resident taxpayers who have a permanent establishment in Spain or are pass-through entities with a presence in Spain).
03-22-2020
Royal Decree 463/2020, of March 14, 2020, declaring a state of emergency, through its additional provisions 2, 3 and 4, established a scenario of general suspension of time periods, time limits and administrative proceedings that initially seemed to extend to tax proceedings. Royal Decree 465/2020, of March 17, 2020, redefined this scenario by excluding from said suspension tax time periods in general and time periods for filing tax returns and self-assessments in particular. RD-Law 8/2020 then completed it with its article 33, which regulates how the suspension of time periods in the tax area should be understood. Apparently, review proceedings in the administrative jurisdiction have been accidentally left out of the legislative provisions published.
03-18-2020
The March 18, 2020 edition of the Official State Gazette has published Royal Decree-Law 8/2020 of March 17, 2020 on urgent and extraordinary measures to confront the economic and social impact of COVID-19. The decree-law comes into force on its publication date, for a one-month term, and allows this term to be extended.
03-17-2020
On March 16, 2020, the Customs Department published Note NI DTORA 01/2020, issuing instructions derived from the declaration of State of Emergency by Royal Decree 463/2020, of March 14, 2020 (See Note).
03-15-2020
On March 14 Royal Decree 463/2020 was published declaring a state of emergency to manage the COVID-19 public health crisis (“the Royal Decree”).
02-28-2020
The impact of the health crisis on the business world may have consequences from a contractual, litigation, employment, regulatory and even criminal perspective. The broad range of cases must be addressed individually from a multidisciplinary legal perspective.
Administrative Law
03-22-2021
One year after the state of emergency was declared in Spain due to the spread of COVID-19, Garrigues analyzes the regulatory changes companies face both now and post-pandemic.
12-21-2020
2020 has been a year like no other. The world health emergency caused by the spread of COVID-19 and the resulting declaration of a state of emergency (lockdown) in Spain in March 2020 brought an unprecedented whirl of legislative activity. Companies have now been placed in an uncertain scenario where decision-making is the key to the future survival of their businesses. Over these months the Garrigues Special COVID-19 team have tried to provide answers to many of the questions that have arisen in the new context. Now that this traumatic 2020 is drawing to an end, we review and look back on the main legal matters of the year, from every angle of business law, while looking towards 2021 and picking out the most important trends to watch in the new year.
06-16-2020
Andalucía has introduced a new legal regime for tourist accommodation in order to boost a sector that has suffered from the consequences of the pandemic Among the measures adopted, it is worth to highlight the new classification system; recovery of the ‘Grand Luxe’ rating; the possibility to use certain types of establishments, including student residences, temporarily as tourist accommodation; a new definition of tourist accommodation contract; or the inclusion of hostels as hotel establishments.
06-15-2020
Garrigues has been publishing this newsletter since March 23 in an effort to bring you all the regulatory matters that week in week out required particular attention by companies in every area of business law. Since the state of emergency is about to finish, this will be the last edition of a publication that we hope has served its purpose. From now on, we will continue to keep you informed in our usual formats (Alerts, Commentaries, Viewpoints or Newsletters).
06-01-2020
Preparation of financial statements and corporate income tax, recommencement of time periods, remote trials, gradual return to workplaces, insolvency proceedings and compliance with criminal law
05-18-2020
New guarantee facility, extension of ERTE temporary layoff procedures, effects of the crisis on transfer pricing, return to judicial activity and ‘shields’ for businesses.
05-11-2020
Phase 1 of the ‘scaling-down’ process, third tranche of guarantees, extension of ERTE temporary layoffs, potential delay in the application of VAT directives and of DAC6, and measures to support the cultural sector
05-06-2020
Royal Decree-Law 17/2020, of May 5, 2020, approving measures to support the cultural sector and tax measures to confront the social and economic impact of COVID-19, contains important new provisions on public procurement along with aid and subsidies for the culture industry.
05-04-2020
Reopening to the public of establishments, effects of RDL 16/2020 on procedural, insolvency and tax matters, labor measures in preparation for de-escalation and news on administrative procedures
04-29-2020
We analyze Royal Decree-Law 16/2020, of April 28, 2020, published in the April 29 edition of the Official State Gazette (BOE), adopting procedural and organizational measures to confront COVID-19 (RDL 16/2020). And entering into force on April 30, 2020 (the day after its publication in the Official State Gazette).
04-27-2020
Critical plans for a return to activity, taxes on the renegotiation of loans, notification of judicial decisions, and doubts regarding leases
04-22-2020
We analyze from the standpoint of corporate law/commercial contracts, labor, tax, litigation and administrative law, the main new legislation introduced by Royal Decree-Law 15/2020, of April 21, 2020, adopting additional urgent measures to support the economy and employment (RDL 15/2020), published in the Official State Gazette -BOE- on April 22, 2020.
04-20-2020
For another week running, Garrigues examines the key legal issues that companies should be aware of to continue forward in the current context.
04-13-2020
The situation created by the spread of COVID-19 requires an analysis of the new legislation from all angles of business law. For another week running, Garrigues summarizes the key new legislation that companies need to be aware of over the coming days. This week, the labor landscape features the return to non-essential activities, together with a few new measures such as deferred payment of social security contributions or the ability to combine agricultural activity with unemployment subsidies and benefits. In the tax field, besides paying close attention to new tax legislation in Spain and elsewhere, there other elements needing to be considered such as the issue of renegotiating commercial lease agreements which may trigger tax costs. In relation to administrative law, businesses need to keep sight of the new legislation on administrative and procedural time periods. And on the subject of litigation and arbitration, this week we look at how COVID-19 will impact international contracts, and the opportunity provided by mediation as an alternative route for dispute resolution in the current context.
04-06-2020
A constant stream of new legislation is being approved that affects businesses. Every week Garrigues provides a summary of the main issues that companies need to take a look at over the coming days. This week we feature the new legislation approved on financial and contractual moratoriums and deferrals, the new labor measures or the VAT exemption and customs duty relief on importations of goods to combat the epidemic, together with the advisability of reviewing and analyzing companies’ financial and net worth positions. We also discuss the potential financial liability of the state.
04-01-2020
We analyze the measures introduced by Royal Decree-Law 11/2020, from every angle of business law: corporate/commercial contracts, tax, labor and employment, restructuring and insolvency, procedures and administrative law.
03-30-2020
The toughening of lockdown measures in Spain and resulting closure of all business activities not classed as essential makes it absolutely necessary to keep very much in sight this week the measures approved in the labor and employment field. In the domain of corporate law and commercial contracts, the decision governing the first tranche of guarantees to soften the economic effects of the crisis has already been published in the Spanish Official State Gazette (BOE). As for tax matters, the personal income tax and wealth tax season is about to start. In the litigation arena, the general statute of limitations for personal action has been extended. And there are also important mobility and transport, and restructuring and insolvency issues and matters related to administrative law.
03-23-2020
The global health alert triggered by the spread of the new coronavirus known as SARS-CoV-2, which causes the disease COVID-19, is creating great challenges for companies. Governments around the world are tackling the situation by approving drastic measures to try to mitigate the effects of the health crisis first and the economic crisis second. In this context, at Garrigues we have put together – from the standpoint of all of the practice areas of business law – an overview of the key issues that companies in Spain should take into account in the coming days and weeks.
03-19-2020
The COVID-19 pandemic is causing a health emergency that is spreading to the economy and to society at an unaccustomed speed, affecting both production and demand and citizens’ welfare.
03-15-2020
On March 14 Royal Decree 463/2020 was published declaring a state of emergency to manage the COVID-19 public health crisis (“the Royal Decree”).
02-28-2020
The impact of the health crisis on the business world may have consequences from a contractual, litigation, employment, regulatory and even criminal perspective. The broad range of cases must be addressed individually from a multidisciplinary legal perspective.
Litigation and Arbitration
03-22-2021
One year after the state of emergency was declared in Spain due to the spread of COVID-19, Garrigues analyzes the regulatory changes companies face both now and post-pandemic.
12-21-2020
2020 has been a year like no other. The world health emergency caused by the spread of COVID-19 and the resulting declaration of a state of emergency (lockdown) in Spain in March 2020 brought an unprecedented whirl of legislative activity. Companies have now been placed in an uncertain scenario where decision-making is the key to the future survival of their businesses. Over these months the Garrigues Special COVID-19 team have tried to provide answers to many of the questions that have arisen in the new context. Now that this traumatic 2020 is drawing to an end, we review and look back on the main legal matters of the year, from every angle of business law, while looking towards 2021 and picking out the most important trends to watch in the new year.
06-15-2020
Garrigues has been publishing this newsletter since March 23 in an effort to bring you all the regulatory matters that week in week out required particular attention by companies in every area of business law. Since the state of emergency is about to finish, this will be the last edition of a publication that we hope has served its purpose. From now on, we will continue to keep you informed in our usual formats (Alerts, Commentaries, Viewpoints or Newsletters).
06-01-2020
Preparation of financial statements and corporate income tax, recommencement of time periods, remote trials, gradual return to workplaces, insolvency proceedings and compliance with criminal law
05-28-2020
COVID-19 is particularly and adversely affecting shipping, in a similar way to events in many other industries. We examine what key legal issues need to be addressed by the shipping industry, the legislation approved on this subject in recent weeks, and whether force majeure and the rebus sic stantibus doctrine could potentially operate.
05-18-2020
New guarantee facility, extension of ERTE temporary layoff procedures, effects of the crisis on transfer pricing, return to judicial activity and ‘shields’ for businesses.
05-11-2020
Phase 1 of the ‘scaling-down’ process, third tranche of guarantees, extension of ERTE temporary layoffs, potential delay in the application of VAT directives and of DAC6, and measures to support the cultural sector
05-04-2020
Reopening to the public of establishments, effects of RDL 16/2020 on procedural, insolvency and tax matters, labor measures in preparation for de-escalation and news on administrative procedures
04-29-2020
We analyze Royal Decree-Law 16/2020, of April 28, 2020, published in the April 29 edition of the Official State Gazette (BOE), adopting procedural and organizational measures to confront COVID-19 (RDL 16/2020). And entering into force on April 30, 2020 (the day after its publication in the Official State Gazette).
04-27-2020
Critical plans for a return to activity, taxes on the renegotiation of loans, notification of judicial decisions, and doubts regarding leases
04-22-2020
We analyze from the standpoint of corporate law/commercial contracts, labor, tax, litigation and administrative law, the main new legislation introduced by Royal Decree-Law 15/2020, of April 21, 2020, adopting additional urgent measures to support the economy and employment (RDL 15/2020), published in the Official State Gazette -BOE- on April 22, 2020.
04-20-2020
For another week running, Garrigues examines the key legal issues that companies should be aware of to continue forward in the current context.
04-13-2020
The situation created by the spread of COVID-19 requires an analysis of the new legislation from all angles of business law. For another week running, Garrigues summarizes the key new legislation that companies need to be aware of over the coming days. This week, the labor landscape features the return to non-essential activities, together with a few new measures such as deferred payment of social security contributions or the ability to combine agricultural activity with unemployment subsidies and benefits. In the tax field, besides paying close attention to new tax legislation in Spain and elsewhere, there other elements needing to be considered such as the issue of renegotiating commercial lease agreements which may trigger tax costs. In relation to administrative law, businesses need to keep sight of the new legislation on administrative and procedural time periods. And on the subject of litigation and arbitration, this week we look at how COVID-19 will impact international contracts, and the opportunity provided by mediation as an alternative route for dispute resolution in the current context.
04-06-2020
A constant stream of new legislation is being approved that affects businesses. Every week Garrigues provides a summary of the main issues that companies need to take a look at over the coming days. This week we feature the new legislation approved on financial and contractual moratoriums and deferrals, the new labor measures or the VAT exemption and customs duty relief on importations of goods to combat the epidemic, together with the advisability of reviewing and analyzing companies’ financial and net worth positions. We also discuss the potential financial liability of the state.
04-01-2020
We analyze the measures introduced by Royal Decree-Law 11/2020, from every angle of business law: corporate/commercial contracts, tax, labor and employment, restructuring and insolvency, procedures and administrative law.
03-30-2020
The toughening of lockdown measures in Spain and resulting closure of all business activities not classed as essential makes it absolutely necessary to keep very much in sight this week the measures approved in the labor and employment field. In the domain of corporate law and commercial contracts, the decision governing the first tranche of guarantees to soften the economic effects of the crisis has already been published in the Spanish Official State Gazette (BOE). As for tax matters, the personal income tax and wealth tax season is about to start. In the litigation arena, the general statute of limitations for personal action has been extended. And there are also important mobility and transport, and restructuring and insolvency issues and matters related to administrative law.
03-24-2020
The health crisis caused by COVID-19 could turn into a chance to revolutionize arbitration and boost and strengthen its virtues as opposed to domestic court litigation. The flexibility inherent to this alternative dispute resolution system and its recourse to online tools and technology can be used to avoid proceedings being suspended.
03-23-2020
The global health alert triggered by the spread of the new coronavirus known as SARS-CoV-2, which causes the disease COVID-19, is creating great challenges for companies. Governments around the world are tackling the situation by approving drastic measures to try to mitigate the effects of the health crisis first and the economic crisis second. In this context, at Garrigues we have put together – from the standpoint of all of the practice areas of business law – an overview of the key issues that companies in Spain should take into account in the coming days and weeks.
03-18-2020
The March 18, 2020 edition of the Official State Gazette has published Royal Decree-Law 8/2020 of March 17, 2020 on urgent and extraordinary measures to confront the economic and social impact of COVID-19. The decree-law comes into force on its publication date, for a one-month term, and allows this term to be extended.
03-15-2020
On March 14 Royal Decree 463/2020 was published declaring a state of emergency to manage the COVID-19 public health crisis (“the Royal Decree”).
02-28-2020
The impact of the health crisis on the business world may have consequences from a contractual, litigation, employment, regulatory and even criminal perspective. The broad range of cases must be addressed individually from a multidisciplinary legal perspective.
Restructuring and Insolvency
03-22-2021
One year after the state of emergency was declared in Spain due to the spread of COVID-19, Garrigues analyzes the regulatory changes companies face both now and post-pandemic.
01-26-2021
The judges of the Commercial Courts of Barcelona have released a set of basic guidelines for conducting Spanish insolvency pre-packs in that forum, by introducing the feature -of optional use- of the silent administrator. The guidelines were approved in the context of a seminar organized on January 20th.
12-21-2020
2020 has been a year like no other. The world health emergency caused by the spread of COVID-19 and the resulting declaration of a state of emergency (lockdown) in Spain in March 2020 brought an unprecedented whirl of legislative activity. Companies have now been placed in an uncertain scenario where decision-making is the key to the future survival of their businesses. Over these months the Garrigues Special COVID-19 team have tried to provide answers to many of the questions that have arisen in the new context. Now that this traumatic 2020 is drawing to an end, we review and look back on the main legal matters of the year, from every angle of business law, while looking towards 2021 and picking out the most important trends to watch in the new year.
11-04-2020
In the wave of the COVID-19 pandemic, there has been a significant increase in debt held by both consumers and companies. Over the coming years, we expect to see a large number of debt and distressed asset deals. In this viewpoint, Garrigues provides in this documentan analysis of the debt market situation and trends in Latin America, Spain and Portugal, where there is a clear move toward greater sophistication in these deals.
07-28-2020
The Council of Ministers approved on July 21, 2020 the decision on the functioning of the solvency support fund for strategic companies (FASEs, after its initials in Spanish), requirements to be eligible for the support, restrictions regarding beneficiary companies and reporting obligations on received support.
07-08-2020
As the European Commission did with its solvency support instrument launched at the end of May having the general features described here, the Spanish government has created (in Royal Decree-Law 25/2020) a new fund designed to try to prevent insolvencies at economically viable companies.
06-15-2020
Garrigues has been publishing this newsletter since March 23 in an effort to bring you all the regulatory matters that week in week out required particular attention by companies in every area of business law. Since the state of emergency is about to finish, this will be the last edition of a publication that we hope has served its purpose. From now on, we will continue to keep you informed in our usual formats (Alerts, Commentaries, Viewpoints or Newsletters).
06-01-2020
Preparation of financial statements and corporate income tax, recommencement of time periods, remote trials, gradual return to workplaces, insolvency proceedings and compliance with criminal law
05-18-2020
New guarantee facility, extension of ERTE temporary layoff procedures, effects of the crisis on transfer pricing, return to judicial activity and ‘shields’ for businesses.
05-11-2020
Phase 1 of the ‘scaling-down’ process, third tranche of guarantees, extension of ERTE temporary layoffs, potential delay in the application of VAT directives and of DAC6, and measures to support the cultural sector
05-04-2020
Reopening to the public of establishments, effects of RDL 16/2020 on procedural, insolvency and tax matters, labor measures in preparation for de-escalation and news on administrative procedures
04-29-2020
We analyze Royal Decree-Law 16/2020, of April 28, 2020, published in the April 29 edition of the Official State Gazette (BOE), adopting procedural and organizational measures to confront COVID-19 (RDL 16/2020). And entering into force on April 30, 2020 (the day after its publication in the Official State Gazette).
04-27-2020
Critical plans for a return to activity, taxes on the renegotiation of loans, notification of judicial decisions, and doubts regarding leases
04-20-2020
For another week running, Garrigues examines the key legal issues that companies should be aware of to continue forward in the current context.
04-13-2020
The situation created by the spread of COVID-19 requires an analysis of the new legislation from all angles of business law. For another week running, Garrigues summarizes the key new legislation that companies need to be aware of over the coming days. This week, the labor landscape features the return to non-essential activities, together with a few new measures such as deferred payment of social security contributions or the ability to combine agricultural activity with unemployment subsidies and benefits. In the tax field, besides paying close attention to new tax legislation in Spain and elsewhere, there other elements needing to be considered such as the issue of renegotiating commercial lease agreements which may trigger tax costs. In relation to administrative law, businesses need to keep sight of the new legislation on administrative and procedural time periods. And on the subject of litigation and arbitration, this week we look at how COVID-19 will impact international contracts, and the opportunity provided by mediation as an alternative route for dispute resolution in the current context.
04-06-2020
A constant stream of new legislation is being approved that affects businesses. Every week Garrigues provides a summary of the main issues that companies need to take a look at over the coming days. This week we feature the new legislation approved on financial and contractual moratoriums and deferrals, the new labor measures or the VAT exemption and customs duty relief on importations of goods to combat the epidemic, together with the advisability of reviewing and analyzing companies’ financial and net worth positions. We also discuss the potential financial liability of the state.
03-30-2020
The toughening of lockdown measures in Spain and resulting closure of all business activities not classed as essential makes it absolutely necessary to keep very much in sight this week the measures approved in the labor and employment field. In the domain of corporate law and commercial contracts, the decision governing the first tranche of guarantees to soften the economic effects of the crisis has already been published in the Spanish Official State Gazette (BOE). As for tax matters, the personal income tax and wealth tax season is about to start. In the litigation arena, the general statute of limitations for personal action has been extended. And there are also important mobility and transport, and restructuring and insolvency issues and matters related to administrative law.
03-23-2020
The global health alert triggered by the spread of the new coronavirus known as SARS-CoV-2, which causes the disease COVID-19, is creating great challenges for companies. Governments around the world are tackling the situation by approving drastic measures to try to mitigate the effects of the health crisis first and the economic crisis second. In this context, at Garrigues we have put together – from the standpoint of all of the practice areas of business law – an overview of the key issues that companies in Spain should take into account in the coming days and weeks.
03-18-2020
The March 18, 2020 edition of the Official State Gazette has published Royal Decree-Law 8/2020 of March 17, 2020 on urgent and extraordinary measures to confront the economic and social impact of COVID-19. The decree-law comes into force on its publication date, for a one-month term, and allows this term to be extended.