Like the rest of Spain, Gran Canaria is part of the European Union and the Euro Zone. Consequently, its currency is the euro and it participates in the Single European Market, including its customs regulations; however, the Canarian Economic and Fiscal Regime (REF) enables Gran Canaria to offer significant fiscal and economic incentives that represent a real attraction to foreign investors.
While the Spanish Tax System is applied to Gran Canaria, the island’s “special status” within the European Union permits it to have reduced direct and indirect taxation as well as various fiscal incentives and economic aid for business investment.
As a result, the economic instruments allow that a large amount of companies benefit in the operations from incentives such as the Special Canary Zone (ZEC), which gives of the Canary Islands the most attractive tax incentive in the European Union, establishing a Corporate Income Tax rate of 4%, in comparison to the European average, which is 25%-30%, and the Free Trade Zone of Gran Canaria, which offer customs and tax advantages, offering both instruments the most legal certainty."
Historically, it can be observed a more than outstanding growth in the attraction and issue of net investment in the Canary Islands as compared with other Autonomous Communities in Spain, of which can be highlighted the more than 3,400 million euro of gross foreign investment received during the period 2005-2011.
For its condition as an Ultraperipheric Region (RUP), the Canary Islands have access to funds and economic instruments specific in Spain and in the European Union which benefit the economic and social development of the which covers also safety in economic, food, health, environmental, individual, politic and social areas, of great importance for foreign investments.
The existence of a highest level of safety favours commerce, stability and the economic development of the island. On the island we can find the institutional headquarter "La Casa de Africa" ("The House of Africa"), as a tool for public diplomacy, on duty for the State ́s external actions, as well as the representation of the Executive Committee of the Advisory Council for the Trade with Occidental Africa aka CAPCAO, and the presence of 40 consulates."
Canary Islands Special Zone (ZEC). A low Corporation Tax Zone (4%) that promotes the establishment of new businesses, conditional upon minimum levels of investment and job creation.
Visit ZEC for updated information on taxation in Gran Canaria.