Reasoned reports

On 13 January 2007, Royal Decree 2/2007 was published in the Official State Gazette (BOE), amending Royal Decree 1432/2003 of 21 November. This Royal Decree regulates the issuing of binding reasoned reports for the Tax Authorities relating to R&D and designates the CDTI as the competent body to issue said reports on the projects it funds (*).

These reports provide companies with greater legal certainty when it comes to deducting research, development and technological innovation expenses incurred in projects supported by the CDTI. Thus, the CDTI fulfils the dual function of financing a project and accrediting it to access tax deductions for R&D activities.

The CDTI will issue a binding reasoned report certifying the ex ante content in R&D activities, as defined in the Corporate Tax Law, as well as the coherence of the budgeted expenditure for the R&D activities contemplated therein.

A single report will be produced for the entire duration of the project. In the case of cooperative projects, a report will be issued by each of the consortium partners.

Pursuant to Order ECC/2326/2015 of 30 October, the request for these reports must be submitted electronically. The company must make this request through its private area on the CDTI's website. This Order adapts this procedure to the new features and improvements now available to companies for online processing.

These reports must be issued within three months and the effect of silence will be negative, in accordance with the provisions of Royal Decree 1432/2003 of 21 November.

(*) The issuing of reasoned reports does not apply to lines of financing that are not included under the concept of R&D as defined in the Corporate Tax Law.