Direct taxes

Company tax (IS) - Time to get working!

  1. Your sister and three friends have finished their university studies and are now thinking of starting a company called LAURAK BAT. The company's main business involves managing the internal and external communications of a number of companies, and they have started getting in touch with corporations in their area. They are not quite sure of all the legal and tax issues that come with starting up a business, and, as they don't have much money, they cannot hire legal assistance. They have come to you and asked you the following question:
    • As a small business, if they obtained profits, what rate would they have to apply in their calculations?
  2. The company Elkarrekin, which manufactures and markets calculators, has 25 people on its payroll. The company's figures for the last year were as follows: 
    • Salaries: €498,300
    • Sales Revenue: €636,000 
    • Phone Expenses: €1,890
    • Purchases: €98,300 
    • Water and electricity: €1,720 
    • What is the tax base?
    • What tariff or rate do they have to apply?
    • Calculate how much they have to pay in company tax.
  3. Go back to the document KONTUAK GARBI and answer the following questions: 
    • How much money did the revenue office of Gipuzkoa collect in company tax?
    • What percentage of total tax revenue comes from this tax?