Impairment losses of article 13.1 of the LIS and provisions and expenditure (articles 14.1 and 14.2 of the LIS) referred to in article 11.12 of the LIS (converted to tax payable)

Regulation: Seventh Additional Provision Law 20/1990

The impairment charges on credits and other assets and certain provisions referred to in article 11.12 of the LIS , which have generated deferred tax assets , will be integrated into the positive integral quota , based on the corresponding tax rate, with the limit of said quota without taking into account its integration or the compensation of negative quotas.

Filling in form 200

The cooperative society must record in boxes [00210] and [00480] "Losses due to impairment of art. 13.1 LIS and provisions and expenses (art. 14.1 and 14.2 LIS) referred to in art. 11.12 LIS (converted into a fee)» on page 14 of form 200, the adjustments that correspond in application of the imputation criteria established in article 11.12 of the LIS with respect to provisions for impairment of credits or other assets derived from possible insolvencies of debtors not related to the taxpayer, not owed by public law entities and whose deductibility does not occur by application of the provisions of article 13.1.a) of this Law, as well as those derived from the application of sections 1 and 2 of article 14 of this Law, corresponding to provisions or contributions to social security systems and, where appropriate, early retirement, which have generated deferred tax assets, and to which the right established in article 130 of this Law applies:

• In box [00210] of increases, they must record at the quota level the amount corresponding to those losses due to impairment, allocation or contribution made by the taxpayer that are considered accounting expenses in the period subject to declaration, but that not tax deductible as established in articles 13.1 and 14.1 and 14.2 of the LIS.

• However, when in a tax period subsequent to its recording as an accounting expense:

  • If the circumstances established in articles 13.1 and 14.1 and 14.2 of the LIS occur and said accounting expense becomes tax deductible , cooperative societies must make at the share level a negative adjustment in box [00480] of decreases.

  • If the reversal of the impairment or the accounting recovery of the expense occurs, cooperative societies must make a negative adjustment at the share level in box [00480] to eliminate the accounting income recorded at the time.

    This adjustment will be made in the event that the aforementioned expenses have not been fiscally integrated, in accordance with the imputation criteria established in the Seventh Additional Provision of Law 20/1990. If these expenses have been fully or partially charged to tax, the accounting reversal thereof will have tax effects on the corresponding portion.