ZEC Consultancy 
canary islandS ECONOMIC zone

As part of intraHouse Spain SL, a ZEC company, we offer our experience of creating a ZEC company to others who want to do the same. 

We can help you with everything you need, from completing the application in Spanish to finding employees, premises, suppliers, and providing help with marketing and communications to get your product or service the exposure it needs. 

We look forward to helping you establish on one of these amazing islands.

What is the ZEC?

The Canary Islands Special Zone (Zona Especial Canaria – ZEC) is a low tax zone created within the framework of the Canary Islands Economic and Fiscal Regime (REF).

Its purpose is to promote the economic and social development of the Islands and diversifying their production structure.

Why ESTABLISH A COMPANY ON the canary islands?

The Canary Islands offer an ideal framework for your investmenents.

DOING BUSINESS IN THE EUROPEAN UNION

To do business on the Canary Islands is to invest in a territory of the European Union with all the legal certainty that it offers. The fiscal benefits and investment incentives offered by its special Economic and Fiscal Regime make the region an attractive place for firms to locate.

CONNECTIONS WITH THE WORLD

The Canary Islands’ privileged and strategic position in the Atlantic Ocean, situated 1,250 kilometres from the Spanish Mainland and only 210 kilometres from Africa, offers a strategic geographical location between Europe, Africa and the Americas.

A CONSOLIDATED TOURIST DESTINATION

The Canary Islands are a consolidated international tourist destination with an extensive offering of hotels and self- catering establishments visited by more than 3 million tourists every year.

ATTRACTIVE FISCAL AND ECONOMIC INCENTIVES

While the Spanish Tax System is applied to the Canary Islands, the islands’ “special status” within the European Union grants reduced direct and indirect taxation, as well as various fiscal incentives and economic aid for business investment.

SKILLED HUMAN RESOURCES

The broad educational offer generates skilled human resources to meet the demands of the islands’ labour market. The demographics display a young population structure in which approximately two-thirds are of working age, almost 25% of whom are below 19 years old.

INNOVATIVE BUSINESSES

The islands’ research centres, skilled human resources, logistic conditions and attractive framework of incentives, favour the development of innovative and technological activities. The marine and maritime sectors, and those related to information technologies or the environment, offer significant development opportunities on the islands.

who can BENEFIT?

Any entity engaging in the following activities: Industrial, Commercial or Services.

Included in the list of authorised activities outlined in the annex of Royal Decree-Law 2/2000, as amended by Royal Decree-Law 12/2006.

Where can you set up?

The geographical scope of the Canary Islands Special Zone has been extended to cover the entire territory of the Canary Islands for all types of activities.

  • TAX INCENTIVES FOR ZEC COMPANIES

CORPORATION TAX

The fixed tax rate is set at four percent (4%).

TRANSFER TAX & STAMP DUTY

ZEC entities benefit from certain exemptions on Transfer Tax and Stamp Duty.

CANARY ISLANDS TAX (IGIC) 

Exemption on the provision of goods and services and on the importing of goods.

NON-RESIDENTS

Income Tax Non-Resident (IRNR) exemption

REQUIREMENTS FOR BECOMING A ZEC ENTITY

01

The entity must be newly created and have its registered office and effective place of management within the geographical area of the ZEC.

02

At least one of the administrators must be a resident of the Canary Islands.

03

A minimum investment of:

  • €100.000 (Tenerife or Gran Canaria) and €50.000 (other islands) in fixed assets related to the business activity within the first 2 years following registration.

04

A minimum of 5 or 3 full-time jobs must be created:

Depending on whether the location is one of the capital islands or an outlying island, in the first 6 months following registration, and this average must be maintained during the time the entity remains within the ZEC.

Let’s Start Something new!

 

We look forward to helping you establish on one of these amazing islands.