European Commission March Infringement Package Includes Tax Issues for Spain on Royalty Withholding Tax and Capital Gains Tax for Non-Residents

The European Commission has published its March infringements package: key decisions. With respect to taxation, the package contains two issues for Spain:
- The non-deductibility of expenses when calculating withholding tax on cross-border royalty payments to non-residents (Spain sent a reasoned opinion); and
- The inability of non-residents to defer tax on capital gains when a payment for a tran…