Tax & Accounting — Las Palmas de Gran Canaria

Structuring a business under the Canary Islands tax regime

Cautio Legal advises foreign-owned businesses on Spanish and Canarian tax compliance — recurring obligations handled without surprises, and the incentives specific to the islands applied correctly from the start. Free initial consultation, no obligation.

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Why the Canarian regime needs local advice

IGIC, RIC and ZEC don't exist anywhere else in Spain or the EU
A mainland advisor unfamiliar with the Canarian regime is a common source of costly errors
Investment incentives like RIC need a materialisation plan, not just a deduction
Tax authority requests move on a fixed schedule, not yours

Most tax problems don't come from sophisticated operations — they come from ordinary decisions made without measuring their effect: a badly structured payment, a deduction claimed without the paperwork to support it, a reserve set up without a plan to use it.

Our work has two layers. The first is recurring compliance: bookkeeping, annual accounts, and periodic tax filings, submitted on time and reconciled. The second is judgement: what to do before the tax year closes, how to structure an operation, and how to respond to a request from the tax authority.

Operating in the Canary Islands adds a framework of its own — IGIC, RIC, DIC, ZEC — that changes the analysis substantially and needs specific, ongoing attention. It's where a local advisor adds the most value, and where improvising costs the most.

What we handle

Not an exhaustive list — if your situation isn't here, contact us and we'll tell you plainly whether we can help.

Bookkeeping and annual accounts

Recurring accounting and official filings, reconciled and submitted on time.

Corporate and income tax

Corporate tax, personal income tax, and IGIC — the Canarian equivalent of VAT.

RIC, DIC and ZEC

The Canary Islands' investment reserve and reduced-rate regimes, applied to a real structure, not a generic template.

Tax inspections and requests

Responding to a request, review, or inspection from the Spanish tax authority.

Appeals and claims

Administrative appeals against a tax assessment or penalty.

Corporate and succession tax planning

Structuring a transaction or a succession with the tax consequences considered upfront, not after.

How we work with clients abroad

Video-call consultations

You don't need to be on the island, or even in Spain, for the first consultation or for most of the process.

One advisor, throughout

The person you speak to on day one stays responsible for your case — you are not passed between people.

Explained in plain English

What's happening, what your options are, and what it will cost, confirmed in writing before we begin.

Common questions

What is the Canary Islands' special tax regime?

The islands have their own indirect tax (IGIC, instead of mainland VAT) and several incentives not available elsewhere in Spain or the EU — including the RIC reserve for investment and, for qualifying companies, the reduced-rate ZEC regime. Whether any of these apply to you depends on your activity and structure.

Do these incentives apply to a foreign-owned company?

Often yes, subject to meeting the conditions — they're not restricted to Spanish-owned businesses. We'll review your structure and tell you plainly what applies.

I run my business remotely — do I still need a local tax advisor?

For anything touching the Canarian regime, yes: IGIC, RIC and ZEC are applied and reviewed locally, and a mainland or foreign advisor unfamiliar with them is where most costly mistakes come from.

How much does this cost?

Fees are agreed in writing before we start, once we understand the scope of your case. The first consultation is free and without obligation.

Is what I tell you confidential?

Yes, it is protected by professional secrecy under Spanish law. In this first message, avoid sending sensitive documents — we'll tell you the secure way to share them once we're in contact.