The rise of
the past few months have led to a series of measures and consequences to regulate their tax and legal context.
Recently, the Congress of Deputies adopted the Law on the Prevention of
, whose rules are those of increased scrutiny of certain assets, such as cryptocurrencies and crypto-assets.
Currently one of the most requested investment alternatives, the Spanish government wants to reduce the encirclement on crypto-currencies and place itself at the forefront of its regulation.
According to a recent study by ING, Spain is the third European country, behind Turkey and Romania, where the most is invested in these new financial and digital assets, with more than four million citizens investing in cryptocurrencies.
This is just one of the reasons why the tax administration has put on its radar.
the purchase of crypto-currencies in Spain,
keeping in mind that their number keeps increasing because less money is being used. Do I have to declare cryptocurrencies in Spain to the Treasury?
The taxation of crypto-currencies in Spain is therefore an issue that has been dealt with recently to be able to regulate their situation.
In this context, one of the most common questions asked of taxpayers, who have in their possession these digital assets, is whether, when filing taxes, they must declare their cryptocurrencies to the Treasury.
And it is that so far, the dubitcoin boom in Spain has tax obligations that are not always respected.
We must assume that irpf, corporate tax or even inheritance tax are some of the taxes whose calculation is affected by the use and investment in cryptocurrencies.
Going back to the question in the previous paragraph, the answer is yes.
Investors who bet on cryptocurrencies in 2020 and sold them afterwards must include their transactions in that fiscal year’s tax return, taxing them as a capital gain on the basis of savings (just like the stock exchange).
Therefore, with regard to the regulation of crypto-currencies, the holders of these crypto-assets must know that they must declare the capital gain obtained since the first euro, provided that the total profits and returns of the year of the taxpayer, for whatever reason and origin, is in accordance with the general guidelines of the obligation to report. The tax regulation of crypto-currencies
Faced with this last point, the tax advisors of AYCE Laborytax remind you that they are required to make the tax return, among others, those who have had income from their work greater than 22,000 euros, if only one payer has been had, or 14,000 euros if several payers have been paid (provided that the sum of the second of them and beyond is greater than 1,500 euros).
However, returns per cryptocurrency, as in the case of other investments, can mean that, without reaching this minimum, the taxpayer has to file the return.
If your capital gains on cryptocurrencies exceed 1000 euros (or losses of more than 500 euros), added to other returns, you would have to file your return.
In addition, the profits generated by transactions with these virtual currencies are considered as income subject to IRPF, with the notation of patrimonial gains and taxed according to the basis of savings: at 19% for the first 6,000 euros; 21%, between 6,000 and 50,000; 23%, between 50,000 and 200,000.
In addition, a new tranche (26%), for those whose profits exceed this amount, should be incorporated for next year. In this year’s reporting template, they should complete boxes 1,626, 1,631, 1,632, 1,633 and 1,637. The system complements the rest. Cryptocurrencies: Model 720
Another topic of discussion regarding this issue concerns the 720 model and cryptocurrencies, especially since failure to file the return can result in significant fines.
Model 720 is the information statement on property and rights located abroad
The new anti-fraud law makes Spanish taxpayers accountable for holding and operating with virtual currencies. Information on balances and holders of cryptocurrencies and on “any type of transactions that have been carried out with them will be required. It will be mandatory to inform about the 720 model of declarations of property and rights abroad on the possession of crypto-currencies abroad, “reports the Ministry of Finance.
“The Treasury wants to have the information of Spaniards with cryptocurrencies abroad.”
The final law was adopted on 30 June, with the amendments made in its parliamentary treatment. The text includes the obligation to inform the holders of crypto-currencies registered abroad. It extends the obligation to its beneficiaries, authorized and to any person who may dispose of it.
The concrete text leaves no escape: “Virtual currencies located abroad of which you are the holder, or for which you have the status of beneficiary or authorized or in another way are considered a power of disposition. Held by persons or service entities to safeguard the private cryptographic keys of third parties. To maintain, store and transfer virtual currencies.”
It will be essential to account for the ownership of cryptocurrency balances as well as collections, payments, assignments and transactions in general.
The tax administration has also categorically announced that the fine for not declaring cryptocurrencies or bitcoin in Spain will be 5,000 euros for each data or data set relating to each virtual currency considered individually according to its type, which should have been included in the declaration, or which would have been provided incompletely, inaccurate or false, with a minimum of 10,000 euros”.
The voluntary declaration of an oversight is less sanctioned. “The penalty is 100 euros for each data or set of data relating to each virtual currency considered individually according to its category, with a minimum of 1,500 euros.” Declarations submitted “out of time” on a voluntary basis benefit from this reduction in penalty.
In addition, in the event of non-provision of this information, an unjustifiable increase in assets may be charged to the taxpayer, facing a possible fine of 150% quota which has ceased to be paid.
This offence, which could become a crime, if the amount exceeds 120,000 euros per tax per year, does not prescribe.
Faced with the tightening of the new law against tax fraud, let yourself be advised by the AYCE Laborytax team to dispel all doubts about the taxation of crypto-currencies in Spain and avoid heavy fines.