María Jesús Montero, heading the Spanish Ministry of Finance, is spearheading efforts to modify the General Tax Law, specifically focusing on Article 162.
From February 1 onwards, a fresh royal decree has come into effect, aiming to enhance the Ministry’s control over cryptocurrencies. This involves granting the Spanish Tax Agency the authority to seize digital assets from individuals who have outstanding taxes, using them to cover their tax debts.
The decree expands the range of entities allowed to report to the Treasury, which previously only included banks, savings banks, and credit cooperatives.
In addition, the Treasury is ramping up efforts against tax evasion, aiming to compel both banks and electronic money institutions to provide comprehensive reports on all card transactions.
Spanish residents who have crypto assets on non-Spanish platforms need to report them to tax authorities by the end of next month. The submission period for Form 721 began on January 1, 2024, and concludes on March 31.
However, only individuals with balance sheets exceeding 50,000 euros (approximately $54,000) in crypto assets are required to declare their foreign holdings. Those using self-custodied wallets must report their holdings through the standard wealth tax Form 714.
Also Read: Central Bank of Spain Selects Partners for CBDC Testing
