In SF Consultores we are specialists in Patent Box aid, in addition to managing all types of public aid. We are dedicated, since 2000, to the comprehensive management of subsidies and public aid for the financing of all types of projects at the regional, state and European level. The objective cannot be other than to maximize the public aid that the different projects of our clients receive through a methodology that includes a short and long term planning that allows obtaining the necessary resources to support those projects and to gain an advantage over the competition.
The Patent Box aid is a tax incentive consisting in the application of a reduction in the Corporate Tax on income from intangibles that have been developed by a company. That is, it rewards innovation, encouraging companies to allow the exploitation of these intangibles, of that innovation, to third parties or through intra-group transfer.
Latest modifications to the Patent Box help
Regarding the application of the Patent Box incentive, it should be clarified that a series of modifications have been introduced in article 23 of the Consolidated Text of the Corporate Tax Law. First, the reduction in the tax base is increased from 50% to 60%. In addition, this reduction may be applied when the company creating the intangibles has created them, at least, at 25% of its total cost. So far this percentage should be 100%. The maximum application of this help is eliminated.
In addition, this aid can now be applied not only to the transfer of intangibles, but also to the transmission, if it exists.
Tax advantages of the Patent Box
With the Patent Box we talk about promoting the development, evolution and knowledge that exists around technology, design and all kinds of experiences in industrial and commercial sectors. In addition, Patent Box grants have tax advantages such as the following:
- They are perfectly compatible with other tax aids and deductions, such as tax deductions.
- Any company subject to Corporation Tax can access a Patent Box.
- It is possible to reduce the Tax Base up to 60% (before 50%).
- Do not worry about the date you created an intangible: it is possible to take advantage of the Patent Box incentive regardless of the date of creation of the intangible. That is, the creation date does not mark whether the tax advantage of the Patent Box will be obtained or not.
- Valid for taxable amounts of any amount.
- Perfectly compatible also with BIN´s.
And what are the limits for obtaining it? What are the requirements? In addition, of the percentage of the cost necessary to create the assets that will be transferred or transferred (25% of the total cost), there are other requirements: you cannot reside in a tax haven that is not in the European Union. For all those companies that are taxed under tax consolidation, all types of actions derived from the application of the Patent Box will be subject to the obligations set forth in article 16 of the Law that concerns us.
In SF Consultores we are specialists in procedures to obtain the Patent Box. Access all these tax advantages benefiting from the professional services we provide. We encourage you to easily obtain a Patent Box incentive for your business project without any hassle.