Urgent Government Measures in Response to the War in Iran: How They Affect Businesses and Freelancers

The Government approved this past weekend a package of urgent measures to mitigate the economic impact resulting from the war in Iran. With an estimated scope of more than €5 billion, these provisions include tax reductions, direct aid for strategic sectors, and structural measures for the energy transition. Their goal is to protect households and the productive sector from rising energy and fuel costs caused by the international crisis.

For businesses, the package offers opportunities to reduce costs, optimize energy resources, and adapt operations to regulatory changes, while ensuring compliance with the tax and labor obligations arising from these measures.

Tax reductions on electricity and fuels: direct savings for businesses

The measures include a VAT reduction from 21% to 10% on electricity, natural gas, briquettes, and pellets, as well as on fuels. Additionally:

• Special Electricity Tax (IEE): reduced from 5.1% to 0.5%.
• Hydrocarbons Tax: adjusted to the minimum allowed by the EU.
• Temporary suspension of IVPEE: so the reduction is reflected in the final electricity price.

Practical impact

An average gasoline tank will be approximately €20 cheaper thanks to the combined effect of VAT and the hydrocarbons tax reduction.

For transport companies and the agricultural sector, the direct aid of €0.20 per liter of professional diesel reduces operating and logistics costs.

These measures will be in effect generally until June 30, 2026, and their application may vary depending on price and CPI developments.

 

Expert Advice

 

Sector-specific aid and support for industry

The package includes specific measures to protect the most affected sectors:

• Transporters, farmers, livestock breeders, and fishermen: direct aid on fuel and fertilizers.
• Energy-intensive industries: 80% discount on electricity tolls, with estimated savings of €200 million.
• Flexibility in energy contracts: businesses and freelancers can adapt supply contracts without additional costs.

These actions aim to preserve competitiveness, employment, and operational sustainability in a context of international uncertainty.

Incentives for energy efficiency and green transition

Beyond these measures, the Government promotes strategic investments:

• Income tax deductions (IRPF): up to 15% for the purchase of electric and plug-in vehicles.
• Self-consumption and energy efficiency: deductions and bonuses for solar installations, heat pumps, and renewable self-consumption systems.
• Free amortization in Corporate Tax: applicable to investments in energy efficiency and electric mobility.

These measures not only generate tax savings but also contribute to reducing operating costs in the medium term and strengthening the energy resilience of businesses.

Practical recommendations for businesses and freelancers

1. Review energy supply contracts to take advantage of bonuses, tax reductions, and contractual flexibility.
2. Optimize fleets and fuel consumption with the €0.20/liter aid and the VAT and hydrocarbons tax reduction.
3. Plan investments in energy efficiency and electric vehicles to benefit from deductions and free amortization.
4. Adapt to sustainable mobility plans if the company has more than 200 employees or 100 per shift, avoiding future penalties.
5. Assess tax impact: adjust Corporate Tax and IRPF forecasts according to applicable reductions.

What should businesses keep in mind?

The tax measures and direct aid will remain in effect until June 30, 2026, unless the CPI or the conflict’s evolution suggests extensions.

The CNMC (National Commission of Markets and Competition) will have the authority to supervise and sanction abuses or unjustified price increases.

It is crucial that businesses meet the specific requirements to benefit from each measure, especially for sector-specific aid and tax deductions.

How can Adlanter help you?

At Adlanter, our tax and accounting advisory team can:

• Analyze the impact of the measures on your company or professional activity.
• Optimize tax and energy planning by taking advantage of reductions and deductions.
• Provide advice on sustainable mobility, energy efficiency, and the green transition.
• Ensure regulatory compliance and legal certainty in applying the aid measures.

If you want us to review how these measures can reduce costs and improve your company’s efficiency, contact Adlanter’s tax and accounting team.