CONTEXT
A technology company engaged in constant, highly specialized innovation
Virtual Cable is a Spanish technology company specializing in the development of secure solutions for the digital transformation of the workplace. Through its proprietary platform, UDS Enterprise, the company develops virtual desktop infrastructure (VDI) solutions that are fully tailored to the needs of each user.
Its commitment to customization, flexibility, and constant adaptation to new technological environments has led the company to maintain a strong focus on innovation. Through the evolution of UDS Enterprise, Virtual Cable has incorporated developments related to desktop virtualization, integration with cloud, hybrid, and multicloud environments, compatibility with new service providers, improved connectivity protocols, multi-factor authentication, advanced security mechanisms, and optimizations in performance, scalability, and user experience. All of this has enabled the platform to continue adapting to increasingly complex infrastructures and the specific needs of different user profiles.
It was precisely this recurring pattern of technological evolution in its platform—supported by functional, architectural, and security developments that went beyond routine software maintenance—that made it necessary to analyze which part of that activity could qualify for tax incentives linked to technological innovation.
TECHNICAL APPROACH
Identify and properly structure the innovative activity
The project began with several sessions with Virtual Cable's technical and management teams to understand the technological developments that were taking place internally.
From there, a comprehensive technical and tax analysis was conducted of the various projects and updates developed by the company, with the aim of identifying which developments were eligible for the tax incentives provided for R&D&I projects, distinguishing them from routine tasks such as maintenance, support, correction, or minor software modifications.
One of the key issues was determining whether these developments should be approached as R&D projects or as technological innovation. After reviewing the scope of the work and the degree of improvement incorporated, it was determined that the most appropriate approach was to structure them as technological innovation projects.
Based on that assessment, the economic analysis began: identifying which costs were associated with the projects and could form part of the basis for the deduction. To do so, it was necessary to work in coordination with the company’s technical and financial teams, reviewing the personnel involved, their time commitments, external collaborations, and other expenses necessary for the execution of the projects.
Based on all this information, the technical and economic framework necessary for Virtual Cable to claim, for its corporate income tax, the tax deductions corresponding to its technological innovation activities was established; the regulations and application of these deductions are set forth in Article 35.2 of the Corporate Income Tax Law.
At the same time, work was also carried out to certify Virtual Cable as an innovative company based on the AENOR EA0047 specification, which stipulates that certain indicators must be met across the areas of human resources, economic and financial resources, innovation methods, organization of process results, and job creation in R&D&I. In Virtual Cable’s case, this recognition allows the company to institutionally reinforce its innovative nature and ensure consistency in the incentive strategy linked to its ongoing technological activities.
RESULT
An incentive structure aligned with the company's capacity for innovation
As a result of the project, Virtual Cable was able to claim tax deductions equal to 12% of the expenses classified as technological innovation, in accordance with the provisions for this type of activity set forth in the Corporate Income Tax Law, thereby optimizing the resources invested in the development and ongoing improvement of its platform.
Obtaining this certification also served as official recognition of Virtual Cable’s capacity for innovation and the technological work the company has been carrying out continuously for years, strengthening its position within the national innovation ecosystem and facilitating better coordination of the various public instruments that support R&D&I.
In addition, the project enabled the company to establish an internal methodology for identifying, documenting, and structuring future technological developments from both a technical and economic perspective. As a result, the company was able not only to optimize the tax treatment of the investment already made but also to lay the groundwork for managing its future innovation initiatives in a more systematic manner.
José Miguel Sanabria, R&D&I Consultant
José Miguel Sanabria, a consultant in ELZABURU's Innovation Financing division, has led the project to analyze and structure the tax incentives implemented by Virtual Cable.
Specializing in innovation financing, José Miguel regularly participates in projects related to the identification, analysis, and technical defense of innovative developments, assisting companies both in applying for tax deductions and in obtaining certifications and accreditations related to innovation.