9.2. Deduction for investment in companies of new or recent creation

Taxpayers may deduct 30 percent of the amounts paid during the period for the subscription of shares or interests in newly or recently created companies, and may, in addition to the temporary contribution to the capital, contribute their business or professional knowledge appropriate for the development of the entity in which they invest under the terms established by the investment agreement between the taxpayer and the entity.

The deduction will only apply to shares or participations subscribed from September 29, 2013 (date of entry into force of Law 14/2013)

The maximum deduction base will be 60,000 euros annually and will consist of the acquisition value of the shares or participations subscribed.

The following will not be part of the deduction:

The amount of the shares or interests acquired with the balance of the company savings account, to the extent that said balance would have been subject to deduction.
Amounts paid for the subscription of shares or interests, when any of the deductions established by the respective Autonomous Community in the exercise of its powers in the Personal Income Tax are applied.

Entity Requirements:

The entity must be a public limited company, a limited liability company, a labour-based public limited company or a labour-based limited liability company, and not be admitted to trading on any organised market. This requirement must be met during all years of holding the share or participation.
You must carry out an economic activity that has the personal and material means for its development. In particular, the management of movable or immovable assets may not be carried out as an activity in any of the entity's tax periods concluded prior to the transfer of the participation.
The amount of the entity's equity may not exceed 400,000 euros at the beginning of the tax period in which the taxpayer acquires the shares or interests.

When the entity forms part of a group of companies, regardless of the residence and the obligation to prepare consolidated annual accounts, the amount of equity will refer to the set of entities belonging to said group.

Conditions to be able to practice the deduction:

The shares or interests in the entity must be acquired by the taxpayer either at the time of its incorporation or through a capital increase carried out within three years of said incorporation and remain in its assets for a period of more than three years and less than twelve years.
The direct or indirect participation of the taxpayer, together with that held in the same entity by his spouse or any person related to the taxpayer by blood or marriage up to and including the second degree, may not, during any day of the calendar years in which the participation is held, exceed 40% of the capital stock of the entity or of its voting rights.
That they are not shares or interests in an entity through which the same activity is carried out that was previously carried out through another ownership.
The amount of shares or interests acquired with the balance of business savings accounts will not form part of the deduction base to the extent that said balance would have been subject to deduction. Please note that the deduction for business savings accounts has been abolished as of 1 January 2015.

When the taxpayer transfers shares or interests and chooses to apply the exemption provided for in section 2 of article 38 of the Law, only the part of the reinvestment that exceeds the total amount obtained from the transfer of those shares or interests will form part of the basis for the deduction corresponding to the new shares or interests subscribed. In no case may a deduction be made for new shares or interests as long as the amounts invested do not exceed the aforementioned amount.

In order to apply the deduction, it will be necessary to obtain a certification issued by the entity indicating compliance by the entity with the requirements indicated above for the entity in the tax period in which the shares or interests are acquired.