When we talk about the tax system, we are referring to all the different taxes, their legal regulation and practical application, as well as a number of general principles that can ensure the homogeneity of a system. And at a time like today, when the government is committed to reforms and when the report of the Committee of Experts was recently published, it was particularly timely to recall this idea. To what extent does the internal implementation of regulatory framework conditions in companies help companies? For this reason, the Foundation for Taxation and Competitiveness wishes to highlight the fundamental role that respects the principle of legal certainty by proposing a decalogue of important proposals for improvement, so that the reform resolves some shortcomings highlighted by the regulation and practical application of taxes in Spain, and also so that the reform achieves the desired objectives. In general, if it is not clear what the regulatory framework is or how it applies when entering into a commercial or for-profit agreement, companies can suffer legal errors. That said, there may be businesses that feel that certain jurisdictions are not applicable to them, but at the end of the day, they have legal incidents that can result in significant financial and legal costs. It is important that companies have defined the regulatory frameworks they will implement, as this will avoid legal, tax and administrative disadvantages in the medium and long term, among others. In this way, unnecessary expenses or the reputation of the company are not affected. that, on the basis of the updates made in the laws, we adapt our internal regulatory framework so that no errors occur. Similarly, when structuring specific regulatory frameworks in business plans, they will help to comply with the parameters required by law and thus avoid making mistakes that could jeopardize the integrity of the company and its reputation. It is also important for businesses to comply with their regulatory frameworks in their business plans. In other words, considering regulatory frameworks can save your business The regulatory framework is a set of laws, rules and regulations applicable to the intended functions or activities that must be identified in order for activities to be carried out smoothly without taking legal risks. One might think that the emphasis on this approach was belated, diverting attention from the proposals of the Committee of Experts on the various taxes that were now at the heart of the debate; But it is true that while these proposals, which are necessary to improve legal certainty, are ignored, the reform has missed an ideal opportunity to increase the credibility and reliability of the system.

If budgetary constraints could limit the scope of the tax-cutting reforms that await society as a whole, it would be regrettable to miss the opportunity for this reform gratuitously, which would undoubtedly contribute to a significant improvement in the Spanish tax system. It is absolutely necessary to improve the legal certainty of taxpayers, understood as greater certainty or predictability of the rule and its application, in response to requests from the administration, but also as an essential objective to improve Spain`s competitiveness and economic development, explicit objectives of the draft reform. It should be noted that the report of the Committee of Experts contained no specific mention in that regard. By: David Toriz Acosta, Chief Audit Partner at GHVG The word « enterprise » comes from the Latin « negotium », which means « which is not a hobby » and refers to the profession and work. On this basis, the creation of companies requires efforts and work on technical, administrative, operational, human talents, among others. Note: Article originally published in Cinco Días. On this basis, the Foundation`s recommendations include the process of developing regulations, the application of fees at their various stages and the settlement of disputes.