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• 20 April: Taxable income of the period January-March less withholdings.• 20 October: Taxable income of the period January-September less withholdings and advancepayment of 20 April.• 20 December: Taxable income of the period January-November less withholdings and advancepayment of 20 April and 20 October.The second system is mandatory for companies whose annual turnover is more than EUR6,010,121.04.In this system and only during 2012, 2013 and 2014, the general rate will be 21% for companieswhose annual turnover is between EUR 0 and EUR 10,000,000, 23% for companies whoseannual turnover is between EUR 10,000,001 and EUR 20,000,000, 26% for companieswhose annual turnover is between EUR 20,000,001 and EUR 60,000,000 and 29% for those withturnover of more than EUR 60,000,000.DoubleTaxation ReliefTax credit for domestic double taxation of dividends and on transfers of shares. Thiscredit completely eliminates double taxation when the resident company collecting thedividend owns at least 5 % of the resident company paying the dividend and has its holdingduring the 12-month period prior to the date on which the dividend is distributed.If these requirements are not met, double taxation is not avoided altogether, since 50% of thedividend received is taxed (or 100 % should certain anti-abuse provisions be applicable). Thecredit can also be taken on transfers of shares in respect of the amount of undistributedearnings generated in the period of ownership of the holding, provided that the requirementsdescribed above are met.Tax credit to avoid international double taxation. Traditionally, Spanish legislation hasadopted the credit method and the three-tier-underlying tax credit (for dividends) to avoidinternational double taxation.The exemption co-exists with the tax credit system (the taxpayer may opt for one or the other,although the application of both is incompatible).Under the tax credit system, all the income or capital gains obtained abroad by companiesresident in Spain are included in the tax base in calculating the tax due. The amount of taxeffectively paid abroad will be deducted from the tax due, up to the limit of the tax that wouldhave been payable on the income had it been obtained in Spain.The exemption system is applicable to income from business activities carried on abroadthrough subsidiaries or permanent establishments: Under the exemption system, dividends or24