Spain to Mandate Declaration of Crypto Assets on Foreign Platforms

Spanish residents are required to declare crypto assets held on foreign platforms by the end of March 2024.

Spain's citizens owning crypto assets stored on international platforms must declare their holdings by April 1, 2024, according to the new tax declaration form for virtual assets abroad, released by the local tax authority.

Under the new regulations, only individuals whose balances exceed €50,000 are required to declare their cryptocurrencies.

The declaration period for the new Form 721 starts on January 1 and ends on April 1, 2024. Both individuals and legal entities who are taxpayers must declare the amount of funds stored in their cryptocurrency accounts abroad as of December 31, 2023.

Those holding assets in non-custodial wallets must report them through the standard Form 714 for wealth tax.

In April 2023, the Spanish Tax Administration Agency announced plans to send 328,000 warnings to those who failed to pay taxes on crypto assets for the previous year.

In October, the Acting Minister of Economy and Digital Transformation, Nadia Calviño, stated that the country is working on an expedited procedure to implement the European Union's cryptocurrency regulation framework.