The Law 49/2002, of 23 December, on the tax regime of non-profit organizations and tax incentives for patronage, establishes in Title II the tax regime applicable to these organizations, indicating in article 12 that income exempt under this law is not subject to withholdings or payments on account through the corresponding certification as established by law.
Article 4 of the Regulation for the application of the tax regime for non-profit organizations and tax incentives for patronage, approved by Royal Decree 1270/2003, of 10 October, outlines the way of certifying the exemption from the obligation to withhold or pay on account with respect to income earned by non-profit organizations. In this case, said certification will be in the form of a certificate issued by the State Tax Administration Agency, and will state that the organization has communicated to the Tax Administration the option for the application of the special tax regime regulated by Title II of the aforementioned law and that this condition has not been waived. This certificate will state its period of validity, which will run from the issue date until the end of the applicant’s current tax period.
Consequently, non-profit organizations, which have exercised the option of the special tax regime of Law 49/2002, by means of the corresponding tax register declaration, and have not waived this for the year 2016, can obtain a certificate certifying their exemption from the obligation to withhold or make payments on account for any income earned, which will be valid for the next tax period, regardless of whether or not they can obtain or have obtained this for the current tax period.
To this end, together with this letter, we issue your non-profit organization certificate, which you can give to the payer of any tax exempt income.
Finally, please note that the application of the special tax regime is dependant on complying with the requisites and assumptions established by the regulation in force, proof of which must be provided by the organization.
We hope this information regarding your tax regime is of use. However, if you need clarification on any of the details, you can call Tax Information on 901335533 or consult our website: www.agenciatributaria.es.
STATE TAX ADMINISTRATION AGENCY