The object of the this letter is to inform you again about the form called 720, by which people and companies that are resident in Spain have to declare their assets abroad. The form 720 will be submitted every year between January the 1st and March the 31st of the next year the information is related to.¡
What assets are to be declared?
Funds in banks opened and held abroad Spain when the sum at December 31st or the sum of the average of the last term of the year is above €50,000.
Shares, insurances and any kind of financial product that added altogether have a value at December the 31st beyond the €50,000.
Real estate goods and whatever rights over this kind of goods which value at December the 31st is above €50,000.
What penalties will I have to face if I don’t do it?
Beside the taxation on the income tax and the penalties in that income tax declaration, the lack of submission of form 720 if you are supposed to, will bring you a penalty of €5,000 per detail not declared with a minimum fine of €10,000. In case you declare without previous request of the Tax Office, but beyond the deadline commented above, the fines will be of €100 per detail not declared with a minimum fine of €1,500.
Do I have to declare every year the same goods over and over again?
No. If your heritage has not changed, or if the values of the assets declared do not vary in more than €20,000, it is not necessary to make a new declaration every year, unless you have disposed or sell the goods that motivated the original declaration.