Are you ready to take the leap and become your own boss in the Canary Islands?

In this article, we provide you with all the information you need to become self-employed in the Canary Islands, from the registration procedures to the available subsidies.

1. Registering as Self-Employed in the Canary Islands

Starting as self-employed in the Canary Islands involves completing a series of procedures with the Tax Office and Social Security, as well as some specific requirements of the region.

Step 1: Registration with the State Tax Office:
- Submit the registration form using form 036 or 037 at the State Tax Administration Agency.

Step 2: Registration with the Canary Islands Tax Office:
- Submit form 400, indicating the activity to be carried out and the IGIC regime to which you belong.

Step 3: Social Security Registration:
- Ensure you have sufficient balance to pay the monthly self-employed fee, which varies depending on your age and situation.

Will You Have a Premises? Don't Forget the Opening License:
- If you have premises, it is necessary to obtain the opening license from the City Council to start your business activity.

2. Taxes for Self-Employed in the Canary Islands

From the moment of registration, you must comply with your tax obligations and file the corresponding quarterly and some annual taxes.

IGIC: Canarian Indirect General Tax:
- Pay the difference between the IGIC of your income and expenses, with certain exceptions depending on your activity.

Form 130: Income Tax Payment on Account:
- Pay approximately 20% of your profit, with the possibility of deduction for expenses and withholdings applied on invoices.

Online Sales from the Canary Islands to the Peninsula:
- Sales from the Canary Islands to the Peninsula are not subject to IGIC or VAT, but upon arrival in the Peninsula, VAT is usually charged to the final customer.

3. Subsidies for New Self-Employed in the Canary Islands

If you are new as self-employed in the Canary Islands, you can apply for various subsidies to boost your business.

Subsidy for New Self-Employed:
- Apply for up to €10,000, meeting certain requirements and commitment to stay.

Extension of the Self-Employed Flat Rate:
- Receive the benefit of a reduced fee during the second year as self-employed.

4. Start your Business Adventure in the Canary Islands Today!

Ready to take the first step towards your work independence in the Canary Islands?
Looking for consultancy to handle all the procedures?
Contact us and let our team of experts guide you to success as self-employed in the Canary Islands!