May 29, 2024
Spanish Crypto Holders Must Declare Assets by March 2024
Policy & Regulation

Spanish Crypto Holders Must Declare Assets by March 2024

In a significant move, Spanish residents holding crypto assets on non-Spanish platforms are now required to declare them under new taxation laws governing virtual assets. The Spanish Tax Administration Agency, also known as Agencia Tributaria, has introduced form 721 for the declaration of virtual assets abroad, with a submission deadline set for March 31, 2024.

The tax declaration form, announced in the official state gazette, Boletín Oficial del Estado, on July 29, 2023, mandates that individuals and corporations declare the amount of funds stored on their crypto accounts abroad as of December 31, 2023. The submission period for Form 721 begins on January 1, 2024, and concludes on the last day of March.

Notably, individuals holding crypto assets abroad are obligated to declare only if their balance sheets exceed the equivalent of 50,000 euros (approximately $55,000). Those using self-custodied wallets must report their holdings through the standard wealth tax form 714.

The Agencia Tributaria has intensified efforts to regulate local holders of crypto assets. In April 2023, it issued 328,000 warning notices to individuals who failed to pay taxes on their crypto holdings for the 2022 fiscal year—a 40% annual increase from the 150,000 warnings issued in 2022 and a stark contrast to the mere 15,000 notifications in 2021.

Spain continues to proactively regulate the crypto space, with the announcement that the first comprehensive European Union crypto framework, the Markets in Crypto-Assets Regulation, will be implemented nationally in December 2025, six months ahead of the official deadline. In November, the National Securities Market Commission, Spain’s principal financial regulator, initiated its first case against a technology provider for violating rules related to the promotion of cryptocurrencies.

These developments highlight Spain’s commitment to bringing clarity and oversight to the crypto sector, as the nation takes proactive measures to regulate and monitor the growing influence of digital assets in its financial landscape.

Image: Wallpapers.com

Related posts

Crypto Regulation in Brazil: President Lula Signs Decree to Define Roles of Central Bank and Securities Regulator

Henry Clarke

Think Tank Urges Congress to Halt CBDC Growth and Preserve Financial Freedoms

Harper Hall

US Lawmakers Grill Meta on Crypto and Blockchain Amid Trademark Filings

Harper Hall

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Please enter CoinGecko Free Api Key to get this plugin works.