New information obligations related to investments, bank accounts and real estate abroad for companies and individuals.

FIRST QUARTER 2014

During recent months, the Government has approved new regulations that modify and introduce new information obligations that individuals and companies must provide to different organizations about assets and rights located abroad:

• Banco de España – ETE Form (External Transaction Surveys). It affects people or companies with assets, securities or balances abroad if they exceed million euros in 2013.
•Ministry of Economy – Declaration of Foreign Investments. It affects people or companies with values abroad during 2013.
• Tax Agency – Form 720. It affects people or companies with securities, assets or balances abroad (or that have powers over them) and with amounts or movements greater than €20,000 in 2013.

During the month of January and March 2014, the deadline for the presentation of the declarations derived from these information obligations ends.

These obligations are autonomous and independent of each other, although the information to be declared is the same in both declaration models.

Even so, these information obligations imply a sanctioning regime, which can determine high fines in cases of non-compliance.

As a result of these regulatory modifications, the declarations corresponding to Model DD1 and Model DD2 for communication with the Bank of Spain disappear.

If you need to know more you can consult our Tax Consulting.