The publication of Order HAC/262/2025 on March 19, 2025, in the Official State Gazette (BOE), introduces significant changes to Forms 202 and 222 for instalment payments of Corporate Income Tax (IS) and Non-Resident Income Tax (IRNR) for permanent establishments.
These adaptations respond to recent legislative and jurisprudential reforms, and affect both the determination of the taxable base and the application of differentiated tax rates.
The main modifications introduced by Order HAC/262/2025 are as follows:
- Update of Forms 202 and 222: The relevant annexes are replaced to incorporate changes introduced by Law 13/2023 of 24 May, which amended Article 16 of the Corporate Income Tax Act (LIS), excluding certain income, expenses, or revenues not included in the taxable base from the determination of operating profit
- Introduction of Differentiated Tax Rates: Law 7/2024 of 20 December introduced new tax rates effective from 1 January 2025, with a phased implementation as provided for in the forty-fourth transitional provision of the LIS. Consequently, the instalment payment forms must allow for the application of different tax rates depending on the nature and characteristics of the entity
- Limitation on the Deductibility of Financial Expenses: he section titled Limitation on the Deductibility of Financial Expenses in both forms has been revised to align with new legal provisions that exclude certain expenses from the taxable base
- Fiscal Consolidation Regime: he measure limiting the offsetting of negative taxable bases within tax groups is extended to the 2024 and 2025 periods, allowing only 50% of individual negative taxable bases to be included in the group’s taxable base.
These modifications represent a regulatory alignment with recent legal and jurisprudential reforms in the field of taxation. It is essential for entities and their tax advisors to thoroughly examine these updates to ensure compliance with their tax obligations and to optimize tax planning.
