The General Directorate of Taxes (DGT) has confirmed that asset management companies, dedicated to managing personal or family wealth, can benefit from the new deduction in the Corporate Tax for increasing equity, as long as they meet the requirements.
The General Directorate of Taxes (DGT) has dispelled doubts: asset management companies will also be able to apply the new deduction in the Corporate Tax for strengthening their equity. This was established in a binding consultation from May 6, clarifying that the law "does not impose limitations" for this type of entity.
A Deduction That Expands in 2025
The measure, introduced by the December 2024 law that approved the new global minimum tax for large companies, improves the deduction for business capitalization. The deduction percentage increases from 15% to 20% of the increased equity amount starting in 2025.
According to the regulations, this reduction cannot exceed 20% of the taxable base, or 25% if the company had a turnover of less than one million euros in the previous year. If the company does not have sufficient taxable base, it can deduct the excess in the following two fiscal years.
To apply the deduction, companies must maintain the increased equity for three years and allocate a reserve of the same amount, also for three years. Additionally, the percentage can increase if the workforce is expanded: to 23% if the increase is between 2% and 5%; to 26.5% if it is between 5% and 10%; and up to 30% if it exceeds 10%.
What Are Asset Management Companies and Why Can They Benefit Now?
Asset management companies are those dedicated to managing personal or family wealth, without engaging in productive activity. A typical example is a company that rents commercial premises without having employees. Until now, there was uncertainty about whether they could benefit from this deduction, initially designed to encourage the capitalization of active companies.
However, the DGT has been clear: "the law does not impose limitations for its application to asset entities." Thus, as long as they meet the requirements — increasing equity, maintaining it for three years, and allocating the reserve — they can benefit. In the resolved consultation, an asset management company dedicated to leasing premises, without staff and with a turnover of less than one million euros, asked if it could apply the deduction. The answer was affirmative, with the limit of 25% of its taxable base.
What This Means for Investors and Asset Business Owners
For owners of asset management companies, this clarification represents a significant tax opportunity. By strengthening equity — for example, through contributions from partners or retention of profits — they can reduce their Corporate Tax bill by up to 20% of the increased amount, with a cap of 25% of the taxable base if they earn less than a million.
Moreover, if the asset management company hires staff, the percentage can rise to 30%, which encourages job creation even in asset management structures. However, the three-year maintenance period must be adhered to, both for the funds and the reserve.
The measure has been in effect since January 1, 2025, so companies that have increased their equity this year can already apply it in the Corporate Tax declaration for the 2025 fiscal year, which will be submitted in 2026.
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