What is an ETVE and why is it key in international tax planning?
An ETVE (Entidad de Tenencia de Valores Extranjeros, or Foreign Securities Holding Company) is a company incorporated in Spain that benefits from a special tax regime applicable to dividends and capital gains derived from holdings in non-resident entities. Its purpose is to facilitate the channeling of foreign investments while optimizing the tax burden on international […]
Legal status of the individual representative
The individual representative of a legal entity acting as a director assumes an organic position with full joint and several liability. This appointment carries significant legal and tax implications, especially in complex corporate structures. In the field of Commercial Law, the role of the individual representative appointed by a legal entity acting as director of […]
Complete Guide to Company Incorporation in Spain
Establishing a company in Spain can be a quick and efficient process if well planned. However, when the founder is a foreign individual or entity, the operation requires deeper analysis that goes far beyond formal compliance: it’s essential to understand the legal, tax, and operational framework to make solid foundational decisions from the outset. At […]
Beckham Law: Tax Benefits for Foreign Workers
Spain has become one of the most attractive destinations for international professionals and entrepreneurs thanks to a combination of quality of life, global connectivity, and—most importantly—strategic tax incentives. One of the most notable is the Beckham Law, a special tax regime that allows inbound workers to be taxed as non-residents, benefiting from a reduced tax […]
Right of separation due to change in corporate purpose
The Provincial Court (AP) of Madrid considers that the lack of coincidence between the corporate purpose and the activities actually carried out by a company does not allow a shareholder to separate from the company. In its judgment no. 46/2025 of February 7, 2025, the AP analyzes the challenge to a shareholders’ meeting agreement regarding […]
Joint account agreement or irregular partnership
The Provincial Court (AP) of Jaén confirmed the nullity of a joint account agreement signed in August 2015, on the grounds that it concealed an irregular partnership whose purpose was to circumvent an express legal prohibition on administrative concessions for tobacco shops. Two individuals signed a contract, which was nominally classified as a joint account […]
Merger by absorption: When to file corporate income tax?
In the context of a merger by absorption registered in the Commercial Registry during the 2025 fiscal year, the absorbing entity assumes the obligation to file corporate income tax returns for both its own activity and that of the absorbed entity for the current fiscal year. The income generated by the absorbed entity will be […]
Guidelines for setting the remuneration of directors
The Supreme Court confirms that the remuneration of directors must be proportional to the importance and economic situation of the company, in accordance with article 217.4 of the Capital Companies Act (LSC). The Supreme Court has ruled on an appeal against a judgment of the Provincial Court that had upheld the challenge to the shareholders’ […]
Validity of testamentary provisions for the disassociation of voting rights from shares
The Provincial Court of Madrid reaffirms that testamentary provisions can establish the disassociation of voting rightsof shares without violating corporate public policy. Facts of the case In his will, Mr. Alfredo bequeathed the bare ownership of shares in Aceites Toledo S.A. to his sons, Mr. Evelio and Mr. Cándido, while his wife, Mrs. Evangelina, received […]
Convening of company meetings: abuse of rights and good faith according to the Supreme Court
The recent Ruling of the Supreme Court (SC) of 6 February 2025, no. 190/2025 dealt with a case in which a call for a meeting, despite formally complying with legal and statutory requirements, was declared null and void on the grounds that it violated the principle of good faith and constituted an abuse of rights. […]
