Spanish citizens to declare foreign crypto holdings by end of March 2024

David Attlee13 hours agoSpanish citizens to declare foreign crypto holdings by end of March 2024Only individuals with balance sheets exceeding the equivalent of 50,000 euros in crypto assets are obliged to declare their foreign holdings.2643 Total views15 Total sharesListen to article 0:00NewsJoin us on social networksSpanish residents holding any crypto assets on non-Spanish platforms will have to declare them by March 31, 2024, under new laws governing the taxation of virtual assets. 

The Spanish Tax Administration Agency, commonly known as Agencia Tributaria, has published form 721, a tax declaration form for virtual assets abroad, which was first announced in the Boletín Oficial del Estado, the Kingdom of Spain’s official state gazette, on July 29, 2023.

The submission period for a form 721 declaration will commence on Jan.1, 2024, and end on the last day of March. Individual and corporate taxpayers must declare the amount of funds stored on their crypto accounts abroad as of Dec. 31, 2023.

However, only individuals with balance sheets exceeding the equivalent of 50,000 euros (around $55,000) in crypto assets are obliged to declare their foreign holdings. Those who store their assets in self-custodied wallets must report their holdings through the standard wealth tax form 714.

The Agencia Tributaria has recently increased efforts to charge local holders of crypto assets. In April 2023, it dispatched 328,000 warning notices to those who didn’t pay their taxes on crypto for the 2022 fiscal year. The number of notices increased by 40% annually, with 150,000 warnings in 2022. In 2021, there were only 15,000 notifications.

Related:Survey: 65% of Spaniards aren’t interested in using digital euro

The country is trying to move proactively with various regulations to govern crypto. In October, the Spanish Ministry of Economy and Digital Transformation reported that the first comprehensive European Union crypto framework, the Markets in Crypto-Assets Regulation, will come into force nationally in December 2025, six months before the official deadline.

In November, the principal financial regulator in Spain, the National Securities Market Commission, opened its first case against a technology provider for violating crypto promotion rules.

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