[ Pobierz całość w formacie PDF ]
.financial year to the Ministry of Justice.20.Gifts by companiesFOUNDATIONSOrganizations with a legal personalitymay under certain circumstances deduct22.Constitutiongifts made to bodies which enjoy taxA foundation may be constitutedconcessions.This deduction may not"inter vivos" or "mortis causa".In theexceed 10% of taxable income in mostfirst case, there must be a notarizedcases.written act, and in the second case, its49constitution must be stipulated in the foundation, in accordance with thewill.statutes.Notwithstanding, Article 19 ofthe above law sets limits to the disposalEntry in a register of foundations, whichof the goods of the foundation andfalls within the competence of themakes several transactions subject to theMinistry of Justice, is compulsory andprior authorization of governmentconstitutes official formation of theauthority.foundation.In addition, foundations may not have23.Definitionshares in trading companies in whichArticle 1 of the Law on Foundations ofthey are liable to be responsible1994 defines foundations asthemselves for the company's debts.organizations constituted on a non-profitThey may, however, hold shares in jointbasis which, at the wish of theirstock companies.founders, have their assets assigned27.Disposal of assets on liquidationpermanently to an object for the publicgood.Goods and assets resulting fromliquidation of the foundation must be24.Nationality requirementsassigned to private non-profit bodies andNon-nationals may set up a foundationfoundations pursuing objects for thein Spain.public good which are specified in theIn addition, like Spanish foundations,charter or in the statutes of theforeign foundations can also engage infoundation.In the absence of suchactivities in Spain which relate to theirstipulations, the governing body orobject and can enjoy the concessionsgovernment authorities will decide whichgranted to Spanish foundations,of these organizations will assume theseprovided they are represented onrights.Spanish territory and are entered in theNevertheless, by derogation to theseregister of foundations.provisions, the act establishing theRegistration may be refused if theirfoundation or its statutes may provideobject is not for the public good or ifthat these goods must be assigned tothey are not legally constituted inother public bodies pursuing objects foraccordance with their national legislationthe public good (Article 31 of the above(Article 5 of the above law).law).25.Acquisition of legal personalityTAXATIONFoundations assume a legal personalityonce they are entered in the register of28.the charter.Registration may be refusedFoundations legally entered in theif this act is not in conformity with theregister which fulfil the conditions laidabove law.down in Article 42 of the above law26.Legal capacityenjoy the same tax concessions asassociations (cf.15-20).To do so, theyThe assets of the foundation may consistmust be accredited by the Ministry ofof any kind of goods and assets whichFinance and must expressly apply forcan be valued in financial terms.Thethem.foundation must be the owner of theseand an inventory of them must appear inthe register.The assets are managed and disposed ofby the body which manages the50ACCOUNTS AND AUDITING29.AccountsThe management of the foundation mustdraw up an inventory, a balance sheetand accounts, and a report on theactivities of the foundation and itsfinancial management every year.It mustalso obtain a discharge for the budget ofreceipts and expenditure for the previousyear.All these documents must be sentto the government authorities.In addition, under certain circumstances,an external audit is compulsory.Lastly, within the three monthspreceding the end of each financial yearthe management must also draw up andforward to the government authoritiesthe budget for the forthcoming year(Article 23 of the above law).30.AuditingSupervision by a higher authority isintended to assist the foundation inexercising its right to exist and to ensurethat its constitution and operation arelegal [ Pobierz całość w formacie PDF ]