The Conquistando Escalones Association has achieved on January 8, 2020 according to publication in BOE BOE-A-2020-267 https://www.boe.es/boe/dias/2020/01/08/pdfs/BOE-A -2020-267.pdf the persecuted Declaration of Public Utility, this being a recognition granted by the Ministry of Interior to our Association for the immeasurable work done in its field of action. This statement, supposes a ministerial mention that brings prestige to our entity and demonstrates our effectiveness, transparency and good practices before society.
Despite the short history of the association, which was constituted and registered with the National Registry of Associations on December 4, 2015 with RNA Gº1 Sº1 -608773, we have not ceased our efforts since our constitution to obtain the aforementioned mention and for that ;
- We promote the general interest and not exclusively that of our associates.
- We do not pay the members of our board of representatives, under any circumstances.
- We have personal and material resources, as well as the appropriate organization to fulfill our statutory purposes.
With this achievement, we seek to guarantee our benefactors the destination of their contributions and reward their loyalty by allowing them to apply tax deductions on their donations.
BENEFITS FOR OUR ASSOCIATES AND DONORS PHYSICAL OR LEGAL PERSONS
If we go to the fifth final provision of the Law, we see that, both for natural persons and for societies, in Law 49/2002 on Fiscal Regime of Non-profit Entities, there are donations with the possibility of deduction. It is in this law where all the requirements are established to be able to do so:
- First of all, it determines us which are the beneficiary entities of these donations, in our case, we focus on the point to:
- Non-profit entities to which the tax regime of Title II of Law 49/2002 applies (foundations, public utility associations, non-governmental organizations, delegations of foreign foundations registered in the Registry of Foundations, sports federations. )
- What kind of donations or items are deductible?
Once the entities to which the donations have been made have been determined, they define what items are deductible. It is understood that the following donations and contributions will be entitled to deduction in favor of the aforementioned entities, among others, we focus on a and b:
- Donations and monetary donations of goods or rights
- Membership fees to associations that do not correspond to the right to receive a present or future benefit
- How is the deduction basis determined?
The basis for deductions for monetary donations will be their amount. In those consisting of goods or rights, the book value thereof at the time of transmission.
- What is the amount of the deduction?
- COMPANIES: In general, taxpayers of the Corporate Income Tax will be entitled to deduct 35% of the total deduction from the base of the deduction of the donation or donation made.
The basis of this deduction may not exceed 10 percent of the tax base of the tax period. The amounts that exceed this limit may be applied in the tax periods ending in the immediate and subsequent ten years.
This percentage of 35% can rise to 40% if in the two previous immediate tax periods donations or contributions with the right to deduction have been made in favor of the same entity for the same or higher amount, in each of them, to that of the previous tax period.
- Personal income tax: Donations to beneficiary entities of the patronage (except priority programs): To qualify for this deduction, it is essential to be able to prove the effectiveness of the donation made through certification issued by the donor entity.
The amount of donations that meet the requirements set forth in the “DONATIONS TO ENTITIES AND INSTITUTIONS EXPECTED IN LAW 49/2002” will be indicated.
Base of the deduction Percentage of the deduction
Up to 150 euros 75
Base deduction remainder 30
In addition, if in the two previous immediate tax periods donations, donations or contributions with the right to deduction have been made in favor of the same entity for an equal or greater amount, in each of them, to the previous year, the applicable deduction percentage at the base of the deduction in favor of that same entity that exceeds 150 euros will be 35 percent.
To these deductions are added those that each Autonomous Community may apply in the autonomous section.
Deductions for donations and donations from the Valencian Community:
For donations to others: 25%, meeting requirements. See article 4.1.s law 13/1997.
BENEFITS ACQUIRED BY CONQUISTANDO ESCALONES ASSOCIATION
This recognition implies a series of rights that are mentioned in article 33 of this Law:
- Use the statement “Declared Public Utility” next to its name.
- Enjoy certain tax exemptions and economic benefits.
- Have free legal assistance.
Tax advantages of public utility associations
The main tax advantages of associations declared of public utility and under the tax regime of Law 49/2002 are:
1.A tax rate of 10%, instead of 25%, will be applied to the Corporate Income Tax subject to this tax.
- Income exempted under this Law is not subject to withholding or deposit on account.
3.The property of which they are the owners is exempt from the Property Tax, except in the case of non-exempt economic holdings in the Corporation Tax
4.They are exempt from the Tax on Economic Activities when they have been qualified as exempt by the Law itself.
5.The corresponding value increases are exempted from the Tax on the Increase of Urban Land Value when the legal obligation to pay the tax falls on a non-profit entity.
- Individuals or legal donors shall have the right to practice in their income tax or corporate income tax declarations the deductions indicated in the Law.
SPECIFIC TAX OBLIGATIONS OF PUBLIC PROFIT ASSOCIATIONS
Associations declared of public utility and under the tax regime of Law 49/2002 are required to:
- Declare for the Corporation Tax all of your income, exempt and not exempt.
2.They are required to present, before the Registry of associations and before the Tax Agency, within 6 months following the end of the fiscal year:
- Annual accounts
- The memory of activities, with their corresponding indicators valued and quantified.
3.The company must present the tax returns on companies, donations, etc. and, where appropriate, VAT, Withholdings, transactions with third parties, etc.
- They must keep an accounting adapted to the Accounting Plan of non-profit entities (ICAC Resolution of March 26, 2013).
- They must keep an accounting control, separately, of the income and expenses of the subsidies received.
- They must include a follow-up of the activities included in the activity report, as well as an explanation of their deviations.
We want to thank Fisteka Consultores for all the work, without which it would have been impossible to obtain the “Public Utility”.
State Agency Official State Gazette
– Ley Orgánica 1/2002, de 22 de marzo, reguladora del Derecho de Asociación
– Ley 49/2002, de 23 de diciembre, de régimen fiscal de las entidades sin fines lucrativos y de los incentivos fiscales al mecenazgo
– Ley 37/1992, de 28 de diciembre, del Impuesto sobre el Valor Añadido
– Real Decreto 1740/2003, de 19 de diciembre, sobre procedimientos relativos a asociaciones de utilidad pública
– Real Decreto 776/1998, de 30 de abril, por el que se aprueban las normas de adaptación del Plan General de Contabilidad a las entidades sin fines lucrativos y las normas de información presupuestaria de estas entidades
– Real Decreto 1270/2003, de 10 de octubre, por el que se aprueba el Reglamento para la aplicación del régimen fiscal de las entidades sin fines lucrativos y de los incentivos fiscales al mecenazgo