Latest news in Spain confirm that the state of alarm has been extended until the 7th of June 2020.
We have gathered for you the key deferment and moratorium measures enacted on account of COVID-19, some of which, will extend their effect far along into the summer 2020.


  1. Moratorium on procedural deadlines for all court filings and judicial proceedings. The procedural deadlines and periods will not be resumed after the end of the state of alarm but will be reinstated instead. That means that the time which had elapsed prior to the date of declaration of state of alarm will therefore not be taken into account.
  2. Moratorium on administrative deadlines, which will be resumed after the end of the state of alarm.
    The measure is not applicable to deadlines for filing tax returns and self-assessments where the State Treasury is competent, such as in relation to inheritance and gift tax in the case of non-resident taxpayers or for the payment of 3% of the price withheld to non-resident sellers.
    As to regional taxes, those transferred to CCAA’s, and namely Transfer Tax (ITP), Stamp Duty (AJD) and Inheritance and Gift Tax (ISD), it is necessary to verify with each Regional Government, whether and under which conditions such adjournment measures apply. Catalonia, for example, has approved a moratorium applicable to all tax submissions and settlement deadlines. It is important to enquire with each regional instance in order to verify the legal position.
    At a local level, and without prejudice to the any postponement that a given local council may grant, in the absence of specific regulations, submission and payment terms for local taxes have not been suspended. It is necessary to enquire with the relevant Local Council. This is particularly important if you are liable for tax on the increase in value of land of an urban nature, commonly known as Plusvalía municipal.
  3. One- year extension for the validity of the national identity cards until the 13th of March of 2021, for those which have expired during the state of alarm if its holder is of legal age.
  4. Bankruptcy proceedings.
    A series of measures relating to insolvency proceedings have also been established, among others, until 31 December 2020, a debtor in a state of insolvency, or imminent insolvency, will be relieved from duty to file declaration of insolvency proceedings; and until the same date, judges will not admit processing of applications for the so-called necessary insolvency cases, which are generally promoted by creditors when payments have been defaulted under certain circumstances.
  5. Foreign investments.
    The regime for the liberalization of foreign direct investments in Spain has also been suspended, becoming now subject to prior administrative authorization, if those are made in the main strategic sectors of Spanish economy, when:

    1. as a result of the investment, the investor will hold 10% or more of the share capital of the Spanish company, or
    2. as a result of any corporate transaction, contract or agreement, there’s a take-over of the directorship.

It is also worth noting that special rules apply to transactions already in progress for an amount of between 1 and 5 million euros. Transactions of a value of less than 1 M € are exempted from obtaining prior authorization.