» As a consequence of their geographic situation and their insularity, the Canary Islands have owned for many centuries a special treatment as far as the administrative, economic and fiscal basis are concerned.

» Nowadays, the rule that regulates some tax incentives applicable in the Canaries is the Spanish Act 19/1994 on the 6th July, on Modification of the Economic and Taxation System in the Canaries.

» Among these incentives it is worth mentioning the Investment Reserve in the Canary Islands (RIC), The new Canary Islands Tax Free Zone (ZEC), the Special Regime for tangible properties producing companies or the Ship and Shipping-companies Special Regime or Deduction of Investments in the Canaries (DIC).

» These tax incentives are to be taken into account not only by the canary businessmen but also by any company permanently based on the islands. The mainland companies that have opened offices on the islands or that have created subsidiary companies in order to benefit the tax incentive according to the profits in the Canaries have already taken this into account.