How can a tax law firm in Mallorca help you?
A holding structure can be a very effective tool to reduce corporate taxation, whether the parent company is Spanish or foreign and has companies in Spain.
The key to the tax optimization of a holding company lies in the application of exemptions and deductions in the Corporate Income Tax (IS), especially with regard to dividends and capital gains generated by the sale of shares.
Below, we explain how it works in both cases and what are the main tax advantages.
In addition, if you are looking for a specialized consultancy to accompany you in this type of structures, in Resitax, tax consultancy in Mallorca you will find the professional support you need.
Tax advantages of holding companies in Spain and Balearic Islands
A holding structure allows access to very attractive tax benefits. These advantages are especially relevant for companies seeking to optimize their taxation in Mallorca and the Balearic Islands.
Keys to optimize taxation through a holding structure
To take full advantage of the tax benefits of a holding company, it is essential to know the keys that allow its correct application.
Spanish Parent Company: Benefits of creating a holding company in Mallorca
Exemption of 95% of dividend income
When a subsidiary company distributes dividends to its Spanish parent holding company, 95% of those dividends are exempt from taxation in Mallorca and the Balearic Islands.