Spanish Supreme Court – Dell considered to have a taxable PE in Spain

08 July 2016
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Jordi Brotons
AAMC Abogados Tax advisor. Lawyer
The Spanish Supreme Court has decided that Dell, an IT Irish company operating in Spain, has a Permanent Establishment for Corporate Income Tax purposes, and consequently its profits derived from the sales in Spain have to be taxed in our country.

We are afraid this judgment, which in our opinion does not apply the provisions of the Double Tax Treaty signed between Spain and Ireland, might be used by the Spanish Tax Authorities to challenge similar tax structures.

This news was published yesterday in an Economic Newspaper called Expansion