Spain and Austria signed a treaty for the avoidance of double taxation in December 1966. The treaty is applicable to natural persons and legal entities, tax residents of both countries and it is enforced when the tax residents of a state are performing taxable activities in the other contracting state. Austrian tax residents who are interested in opening a company in Spain can benefit from the effects of the double taxation agreement (DTA), which offers various tax exemptions or deductions. The treaty provides a comprehensive image on the taxes which are applicable under the agreement and our team of company formation agents in Spain can offer advice on the manner in which such taxes are imposed.
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According to the stipulations of the treaty, a set of taxes are applicable to the tax residents of the two states.
Article 2 of the Convention stipulates that Austria will apply the following taxes:
Austrian investors who are interested in company formation in Spain should know that the Spanish authorities will impose, amongst many other taxes, the following:
Our team of company formation consultants in Spain can offer an in-depth presentation on the other taxes applied by the local authorities.
According to the stipulations of Article 5, a permanent establishment in Spain is considered to be a fixed place in which the company carries out its commercial activities. Such companies can carry through the permanent establishments all their commercial activities or a part of their objects of activity. Foreign investors interested in company registration in Spain should know that a permanent establishment designates an office, a branch office, building sites in which the operations are carried out on a continuous basis for at least twelve months, as well as mines and other types of establishments.
We invite businessmen to contact our company formation representatives in Spain for more details on the stipulations of the treaty.