The deadline for filing 2016´s Form 720 is approaching, declaration of information concerning assets held abroad, since the last day for submitting it is March 31st 2017. From Audalia Laes Nexia, we review and indicate who is required to file said Form and under which circumstances:
Who is required to file Form 720?
According to the current legislation, any natural person resident in Spain for tax purposes is required to file Form 720 – also resident legal entities and permanent establishments in our Country – as long as they are holders or authorised holders of foreign accounts whose aggregate balance exceeds 50,000 euros.
Furthermore, holders of shares, stocks, bonds, life insurance, real estate or any other assets held abroad for an aggregate amount higher than 50,000 euros are required to declare the information.
In addition to legal holders, and unless a certain exemption applies – which would need to be carefully evaluated –, the beneficial owners are also required to file, meaning those who hold or control more than 25% of the aforementioned assets through entities with or without legal personality.
Among the exceptions we can point out those taxpayers under the special inpatriate regime or more popularly known as the “Beckham Law”
From Audalia Laes Nexia we can advise you and file this Form seeing as it must be consistent with both your income tax return and property tax.
The inspections carried out by Spanish Tax Authorities on taxpayers who hold assets abroad have increased over the last year.