Business Reforms in Spain
= Doing Business reform making it easier to do business. = Change making it more difficult to do business.
Enforcing Contracts: Spain made enforcing contracts easier by reducing court fees for filing a claim.
Getting Electricity: Spain made getting electricity easier by upgrading Madrid’s electrical grid, thereby allowing more customers to connect to the low-voltage network. Furthermore, the approval process to obtain a new commercial connection was streamlined.
Paying Taxes: Spain made paying taxes less costly by reducing the property tax rate, vehicle tax rate, tax on property transfer, and abolishing the environmental fee. Spain made paying taxes easier by introducing a new electronic system for filing social security contributions.
Enforcing Contracts: Spain made enforcing contracts easier by introducing a mandatory electronic filing system for court users.
Protecting Minority Investors: Spain strengthened minority investor protections by requiring that major sales of company assets be subject to shareholder approval.
Paying Taxes: Spain made paying taxes less costly for companies by reducing rates for corporate income, capital gains and environment taxes—and made it easier by introducing the online Cl@ve system for filing VAT returns. At the same time, Spain reduced the amount allowable for depreciation of fixed assets and raised the ceiling for social security contributions.
Starting a Business: Spain made starting a business easier by introducing an electronic system linking several public agencies and thereby simplifying business registration.
Registering Property: Spain made transferring property easier by reducing the property transfer tax rate.
Paying Taxes: Spain made paying taxes less costly for companies by reducing the statutory corporate income tax rate.
Resolving Insolvency: Spain made resolving insolvency easier by introducing new rules for out-of-court restructuring, introducing provisions applicable to prepackaged reorganizations and making insolvency proceedings more public.
Starting a Business: Spain made starting a business easier by eliminating the requirement to obtain a municipal license before starting operations and by improving the efficiency of the commercial registry.
Labor Market Regulation: Spain reduced the maximum cumulative duration of fixed-term contracts and increased the minimum wage.
Trading across Borders: Spain reduced the time to import by further expanding the use of electronic submission of customs declarations and improving the sharing of information among customs and other agencies.
Resolving Insolvency: Spain strengthened its insolvency process by making workouts easier, offering more protections for refinancing agreements, allowing conversion from reorganization into liquidation at any time, allowing reliefs of the stay under certain circumstances and permitting the judge to determine whether an asset of the insolvent company is necessary for its continued operation.
Labor Market Regulation: Spain temporarily allowed unlimited duration of fixed-term contracts.
Starting a Business: Spain eased the process of starting a business by reducing the cost to start a business and decreasing the minimum capital requirement.
Trading across Borders: Spain streamlined the documentation for imports by including tax-related information on its single administrative document.
Resolving Insolvency: Spain amended its regulations governing insolvency proceedings with the aim of reducing the cost and time. The new regulations also introduced out-of-court workouts.
Labor Market Regulation: Spain reduced the notice period applicable in case of redundancy dismissals.
Paying Taxes: Spain made paying taxes easier and less costly for companies by improving efficiency in the electronic filing and payment system and reducing the corporate income tax rate.
Paying Taxes: Spain made paying taxes less costly for companies by reducing the corporate income tax rate.