Since the beginning of the COVID-19 pandemic, the Spanish Government has approved a number of financial support measures to address companies’ liquidity requirements, including the creation of two guarantee schemes (líneas de avales) managed through the Spanish Official Credit Institute (Instituto de Crédito Oficial – ICO) in relation to financings granted to companies and the self-employed:

The Spanish Government has extended the various support measures aimed at helping Spain deal with the economic impact of COVID-19.

This blog post summarises the most relevant new insolvency measures of Royal Decree-Law 5/2021 (‘the RDL’), which was approved on 12 March 2021 and entered into force on 13 March 2021.

Debtor's duty to file for insolvency

The deadline to file for voluntary insolvency has been extended until 31 December 2021 (the previous deadline was 14 March 2021).

The Finance Act 2020 provides that directors, managers, shareholders, lenders and others can be made jointly and severally liable for the outstanding tax debts of insolvent (or potentially insolvent) companies and limited liability partnerships (LLPs).

The below is a quick snapshot of three recent tax-related developments in the insolvency and restructuring sphere.

Farnborough – appointment of a receiver and tax grouping

The below is a quick snapshot of three recent tax-related developments in the insolvency and restructuring sphere.

Farnborough – appointment of a receiver and tax grouping