Post by account_disabled on Mar 7, 2024 5:09:01 GMT
In order to undertake new activities different from those developed by an entity, it is common for it to establish new entities so that they can proceed to carry out such activities . For which it contributes the corresponding capital in the constitution of those, it is also common for the financing partner to also contribute. With the particularity that after several years its continuity is considered unfeasible as a consequence of obtaining recurring losses, different ways of carrying out the divestment are proposed, either by transferring the participation in those entities to third parties or by proceeding to their liquidation. failed investments divestment Index Accounting and tax effects in the years in which the entity develops the new activities.
Divestment of participation Transfer to third parties Asia Mobile Number List of the participation in the subsidiary. Liquidation of the subsidiary. Accounting and tax effects in the years in which the entity develops the new activities. For tax purposes, it must be taken into account that in Corporate Tax, related entities are considered when one entity participates in the capital of another in at least 25% of its capital .
Therefore, in the event that an entity constitutes a sole proprietorship (100% participation), those entities are linked (art. 18 Law 27/2014 LIS ). If the subsidiary entity that develops this new activity obtains accounting losses and, consequently, negative tax bases, these negative bases can only be offset by itself with the positive income obtained in subsequent tax periods .
However, if for accounting purposes it is considered that as a result of such losses all or part of the amount of capital contributed to that subsidiary is not recovered, an expense for impairment of the participation must be recorded, an expense that is not tax deductible in the parent entity holding that participation (LIS art. 15), so that entity must make a positive adjustment for the amount of that expense to determine its tax base.
Divestment of participation Transfer to third parties Asia Mobile Number List of the participation in the subsidiary. Liquidation of the subsidiary. Accounting and tax effects in the years in which the entity develops the new activities. For tax purposes, it must be taken into account that in Corporate Tax, related entities are considered when one entity participates in the capital of another in at least 25% of its capital .
Therefore, in the event that an entity constitutes a sole proprietorship (100% participation), those entities are linked (art. 18 Law 27/2014 LIS ). If the subsidiary entity that develops this new activity obtains accounting losses and, consequently, negative tax bases, these negative bases can only be offset by itself with the positive income obtained in subsequent tax periods .
However, if for accounting purposes it is considered that as a result of such losses all or part of the amount of capital contributed to that subsidiary is not recovered, an expense for impairment of the participation must be recorded, an expense that is not tax deductible in the parent entity holding that participation (LIS art. 15), so that entity must make a positive adjustment for the amount of that expense to determine its tax base.