COVID-19 Canary Islands: terms for tax self-assessments declarations

Dear clients,

In the following we are sending you a brief summary of the measures established for the Canary Islands regarding the terms for the tax self-assessments, after the publication of the REGULATION of 20th March in the Official Gazette of the Canaries, by which the different tax terms have been determined and clarified due to the health crisis caused by COVID-19.

1.- Canary Islands General Indirect Tax (IGIC).

The term for submission of the IGIC for the first quarter of 2020 shall be extended to 1st June.

This extension shall not be applicable for those taxpayers who are obliged to submit the IGIC self-assessments on a monthly basis.

Census declaration (form 400): extended until 1st June 2020 if the submission term ends during the validity of the state of alarm. This also applies to group declarations of entities for IGIC purposes.

2.- Assigned Taxes: Tax on capital transfers and documented legal acts (ITP-AJD). Inheritance and Donations Tax (ISD).

2.1. As a general rule, the term for submission will be extended by two months for all declarations and self-assessments for the purpose of the ITP-AJD tax, and in the case of the ISD tax for “inter vivos” acquisitions (donations). Regarding the donations, however, the taxable events must have incurred during the validity of the state of alarm.

Concerning the aforementioned taxes, if the submission date of the self-assessment is during the state of alarm and the declaration refers to taxable events incurred prior to the state of alarm, the term will be extended by one more month, from the termination date of the state of alarm.

2.2 The term for the ISD tax for “mortis causa” acquisitions will be extended by two months, provided that the submission date of the declarations ends during the validity of the state of alarm.

3.- Term extension for tax proceedings within the Autonomous Community of the Canary Islands. 

The applicable terms are the ones stipulated in article 33 of the Royal Decree-Law 8/2020, of 17th March.

It shall be clarified that the extension of the payment terms foreseen in article 33 of RD 8/2020, of 17th March, does not apply to the payment terms of those tax debts derived from the import of goods to the Canaries (as they are subject to a special regulation).

It must be noted that these measures have entered into force today, which is the date of their publication in the Official Gazette of the Canaries.

We remain at your entire disposal for any doubt you may have in this regard and will continue to keep you updated as quickly as possible about any upcoming national and local measures.

Kind regards,

CABRERA RODRIGUEZ LAWYERS & TAX ADVISERS

Partner of ETL GLOBAL