The Official Gazette of the State (BOE) of 13 March published the Royal Decree-Law of 12 March on extraordinary measures to support business solvency in response to the pandemic caused by the coronavirus. A Royal Decree that entered into force on the day of its publication.

Extraordinary measures approved a new line of economic aid to self-employed persons and SMEs worth EUR 7 billion, a new insolvency moratorium to give companies greater leeway to rebalance their balance sheets, and what we are interested in today, a new insolvency moratorium deferral of tax debts.

Approved tax debt deferral

With the Royal Decree-Law of March 12, a further deferral of the taxdebt is approved, with which the period to delay the payment of tax debts without late interest increases to four months.

Thus, the place of debt to the Treasury increases by onemonth,since previously, as provided for in Article 8 of Royal Decree-Law 35/2020, of December 22, the deferral and splitting of tax debtswas three months.

What is the new deferral of debt to the Treasury?

The deferrals referred to in Article 65 of Law 58/2003 of 17 December, General Taxation, shall be granted the deferment of the debt to the Treasury in the following cases:

  • Declarations, settlements and self-liquidations whose filing and entry period ends between 1 and 30 April 2021, inclusive. It will be essential that the application submitted until 30 April meets the requirements laid down in Article 82(2)(a) of Law 58/2003 General Tax:

“The taxable person may be exempted in whole or in part from the taxable person referred to in the previous paragraph in the following cases: (a) Where the tax debts are less than that fixed in the tax legislation. This exception may be limited to requests made at certain stages of the collection procedure.”

In addition, the deferral shall also apply to the tax debts referred to in points (b), f) and (g) article 65.2 of Law 58/2003 of 17 December, General Tax:

“Those corresponding to tax obligations to be fulfilled by the retainer or the person required to make income on account. (f) Those arising from taxes which must be legally passed on unless it is duly justified that the quotas passed on have not actually been paid. (g) Those corresponding to tax obligations to be fulfilled by the person required to make split payments of corporation tax.”

On the other hand, it will also be essential for the granting of the deferment of the tax debt that the debtor’s turnover in 2020 was less than EUR 6,010,121.04.

Conditions for deferral of tax debt

  • The period shall be a maximum of six months.
  • No interest on late payment will accrue during the first four months of the deferment.

In this way, Article 8 of Royal Decree-Law 35/2020 of 22 December of urgent measures to support the tourism, hospitality and trade sector and in tax matters, which regulated the previous measure on the deferral of tax debts, is repealed.

In addition, Royal Decree-Law 5/2021 of 12 March includes another tax measure affecting the Tax of Documented Legal Acts (IAJD). Add number 31 to article 45(I.B) of the Consolidated Text of the Law on the Tax on Patrimonial Transfers and Documented Legal Acts, approved by Royal Legislative Decree 1/1993 of 24 September:

Where there is a real ineligible guarantee, the deeds of formalization of the extension of the maturity periods of the financing operations which have received public endorsement provided for in Article 7 of Royal Decree-Law 5/2021, 12 March, extraordinary measures to support business solvency in response to the COVID-19 pandemic shall be exempt from the gradual quota of notary documents in the form of documented legal acts of this tax.”

The Tax Agency will allow you to pay to defer tax debts from your app

Also, it should be noted that the Tax Agency will allow you to pay to defer tax debts from the AEAT app,with just one click. In this way, the AEAT aims to extend to more areas the functionalities of the mobile application, which until now was especially aimed at IRPF.

In addition, freelancers will be able to download their harmonized books of IRPF and VAT through the mobile app, complying with the draft income automatically.

You are interested in:

Aid to self-employed persons and SMEs published by COVID-19.