Executive summary

On 31 December 2020, Spain’s State Budget Bill for Fiscal Year (FY) 2021 (the Budget Bill) was published in the Spanish Official Gazette after its prior approval by the Spanish Congress and Senate (For background on the Budget Bill, see EY Global Tax Alert, Spain releases 2021 State Budget Bill, dated 29 October 2020).

The Budget Bill entered into force on 1 January 2021; spec…