The 30th of April 2013 is the deadline for filing the tax information regarding the assets and rights located abroad belonging to any legal person or legal entity, establishments or entities residing in Spanish territory, regardless of nationality, and any tax obligations abroad in relation to such goods and rights. Said informative tax return can only be submitted online via the electronic filing of model 720.
If you are or have been a Spanish tax resident at any time during 2012, you must submit the above-mentioned model 720 if:
- You have been the title owner, the real owner (beneficial owner), representative, responsible, beneficiary or person with powers of disposal of foreign accounts and the balances of such accounts on 31 December,2012 (or at the time of cancellation of the accounts in 2012) exceeds jointly € 50,000.00 or the average balances of the fourth quarter of 2012 exceeds jointly € 50,000.00.
- You have been:
- The Holder or real owner of securities and rights representing participation in any foreign entity (including collective investment schemes - Undertakings for collective investment in transferable securities (UCITS));
- The Holder or real owner of securities representing the transfer of your own capital to third parties located abroad;
- The Holder or real owner of securities buying into any legal instrument located abroad
- The Insured of life or disability insurance policies contracted with entities based abroad.
- The Beneficiary of fixed term or lifetime annuities contracted with entities based abroad.
whose value on December 31, 2012 (or at the time you ceased to be the owner, holder or beneficiary in 2012) exceeds jointly € 50,000.00.
- You have been the Holder or real owner of real estate located abroad or the Holder or real owner of titles to real estate whose value exceeds jointly € 50,000.00.
Failing to fill in all relevant information in the said model 720 is considered a tax infraction which could result in a fine of 5.000,00.- € for each omitted datum or data set, with the minimum fine being no less than 10.000,00.- €, to which might be added the corresponding proportional fine of 150% of the tax liability that results from integrating the value of such assets into the tax base, the consequence of the failure to declare such goods and rights in your personal income tax or corporate income tax, without prejudice to what may correspond to the inheritance tax. It should be noted that the legislation has established the non-expiring right of the tax authorities to impute the undeclared goods on the basis of those taxes.
Considering the importance of the matter and the severity of the penalties and consequences set, if you think you might be required to submit the above-mentioned tax return (model 720) and need more information, please do not hesitate to contact us.