Box 140. Inactive entities [Form 036]

Box 140 will be completed by legal persons and entities that cease to carry out economic activities, that is, that become inactive, but that have not been dissolved or extinguished.

In box 141 Effective date of cessation of form 036, the date on which the activity was effectively ceased must be recorded.

Legal persons and entities that become inactive will have all their tax obligations cancelled, except the obligation to file corporate tax returns in the case of taxpayers of corporate tax, and the obligation to file the corresponding VAT returns.

In the case of a dissolution and liquidation process, the dissolved company will retain its legal personality while the liquidation is carried out. During this time, the phrase "in liquidation" must be added to its name. The liquidators will execute a public deed of dissolution of the company.

The status of entrepreneur or professional for VAT purposes is maintained until the actual cessation of the activity occurs, which cannot be understood to have occurred while the liquidation of the business or professional assets and the sale of the assets related to their activity is being carried out.

When the legal person or entity is extinguished, box 150 “Withdrawal from the census of entrepreneurs, professionals and withholding agents” will be checked. To do so, if the entities are commercial entities, the corresponding entries must have been effectively cancelled in the Commercial Registry.

The natural persons who stop carrying out economic activities, will mark box 150 “Withdrawal from the census of entrepreneurs, professionals and withholding agents”.