Spain Branch or Representative Office

If you wish to do business in Spain, but do not require an incorporated company, you can:

  • Incorporate a Branch which is administered like a company
  • or, set up a Representative Office

Branch (Sucursal)

We can register a Spanish branch office for your company, our service will include:

  • Ensuring a copy of the foreign company deeds are apostilled, together with a Certificate of Incumbency or a Good Standing certificate
  • Translating the documents into Spanish
  • Ensuring that the person appointed to administrate the branch has a fiscal identification (NIE) in Spain
  • Obtaining apostilled Powers of Attorney
  • Appointment with the notary, to draw up the incorporation deed
  • Obtaining a CIF number for the branch
  • Stamp the deed of registration at the regional tax office
  • Lodge the deed of registration in the Mercantile Registry

To proceed, we need a resolution from the parent company to register a branch.

The resolution does not need to be legalised, but a Power of Attorney needs to be drafted in the name of the company by a director granting powers to us:

  • Register the branch with the tax authorities
  • Appoint a local director
  • Lodge the registration documents with the Registry
  • An instruction by the person or people who are going to be directors of the branch.

Spain - Representative Office

This is the simplest way of forming a company, It does not mean that an office needs to be set up, but the representative office can employ staff.

The process includes:

  • Drafting a board resolution, which is translated and delivered to tax office, when the representative office is registered
  • Organising the company incorporation deed, together with a Certificate of Incumbency/ Good Standing
  • Translating these documents into Spanish
  • Obtaining apostilled Powers of Attorney: to act in the tax office and to open a bank account if required
  • Lodging the deed of registration in the regional tax office: so that the branch has an identification number

Accounting Requirements for Branches in Spain

  • It is always compulsory to keep accounts and to lodge a Corporate Tax return (impuestos sobre sociedades) even if the company has had no activity and no movements.
  • Branches (sucursales) need to do exactly the same as companies

Documents to be Lodged

A company or a branch will have to lodge quarterly forms and statements, which include:

  • VAT return
  • Return about rents paid and received; including the payment of withholding tax
  • A return about professional retention's and advanced income tax retention's for employees
  • Record of European inter-community sales and purchases

and once a year the following is required:

  • Corporation Tax return - this is a 50 page document, including balance sheet, record of movements of reserves and equity, profit and loss account and notes.
  • Annual VAT or indirect tax summary
  • Annual summary of payroll and professional retention details
  • Annual summary of rent withholding tax details
  • Intrastat records
  • Record of European inter-community sales and purchases