On July 7 access was given to the complete wording of the constitutional court judgment, of July 1, 2020, holding unconstitutional,null and void Royal Decree-Law 2/2016 in its entirety due to breaching the substantive boundaries that cannot be overstepped by any legislative instrument of this type (article 86.1 of the Spanish Constitution). The request for a ruling on unconstitutionality was submitted by the Spanish National Appellate Court in an appeal for judicial review lodged by a client of Garrigues.
A set of clarifications was made available in the official website of the Portuguese Tax Authorities (“AT”) regarding the obligation to submit the transfer pricing file to which some taxpayers are subject (please check our previous Tax Alert), following the amendments introduced by Law no. 119/2019, 18 September, to numbers 3 and 4 of article 130 of the Corporate Income Tax (“IRC”) Code.
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.
The May 20, 2020 edition of the Official State Gazette (BOE) published the Decision of May 18, 2020 by the Revenue Department of AEAT (Spanish tax agency), amending the voluntary payment period for the tax on economic activities (IAE) for fiscal year 2020 (national and provincial amounts) and providing the place for payment of those amounts.
The Spanish Supreme Court has concluded that tax treaties cannot be interpreted on the basis of later model conventions or of the commentaries on those models.
The Portuguese Government presented a Supplementary Budget Bill for 2020 that includes several tax measures. The Supplementary Budget Bill will now enter a phase of parliamentary discussion to arrive to a final text by 3 of July.