Nextica for Technology: Legal Advice at the Pace of Your Digital Business

GDPR and privacy in digital products

Companies that process user data as part of their product or service are subject to the most demanding obligations of the GDPR. If your product collects health data, data of minors, or geolocation data, the regulation imposes enhanced security measures and may require a DPO. We conduct the data protection impact assessment (DPIA) required by Art. 35 GDPR for high-risk processing.

Intellectual property of software

The software is protected by copyright (not by patent) in Spain. The ownership of the code developed by employees belongs to the company if it has been developed in the course of their employment functions (art. 97.4 LPI). For the code developed by freelancers or external companies, the ownership must be expressly agreed upon in the development contract: without a written agreement, the client only has a license to use.

Patent box (art. 23 LIS)

It allows a 60% reduction of the taxable base generated by the transfer of intangible assets developed by the company: patents, utility models, protected software, designs, and secret formulas or procedures. To apply it, the intangibles must have been created by the company at least by 25%. It is one of the most relevant deductions for tech and SaaS companies that have income from licenses or SaaS.

ESOP — Stock options for the team

Employee stock option plans (ESOP) help attract and retain key talent by offering a share in the growth of the company's value. In Spain, the Startups Law (Law 28/2022) raises the personal income tax exemption to €50,000 per year for stock options of certified emerging companies, without requiring the offer to be extended to the entire workforce (under the general regime the exemption remains at €12,000 and that requirement applies). In addition, any excess is no longer taxed when the option is exercised: taxation is deferred until the shares are sold or the company goes public, up to a maximum of ten years.