Obligation of the Bank entities to report to the Tax Agency

Posted on Jul 07, 2020

Beyond the regular annual communications, the Law establishes that banking entities must inform the Tax Agency, when some type of transactions are made; Measures being implemented in relation to the fight against fiscal fraud and the prevention of money laundering, that are constantly being monitored by the Spanish Tax Authorities.

The total amount of the transaction and/or the means of payment determine the obligation of the banking entities to report to the Tax Agency.

As reference, see an informative reporting table below:

REPORTING TABLE

Maximum Amounts	Type of Bank Operation
500.- euros	All transactions made with 500.- euros banknotes, regardless of the amount of the operation
3,000.- euros	Transactions higher than 3,000.- euros provided they are made in cash
6,000.- euros	Loans and credits in excess of 6,000.- euros
10,000.- euros	Any type of operation higher than 10,000.- euros

 

The banking entities will report about the individuals performing the bank operations, the total amount of the transaction, as well as, the bank account number and holders.

Such details will not only be available for the Spanish Tax Agency; actually, any EU state can cross-check the information about residents abroad. In this way, it is easier to prosecute tax fraud within the EU, likewise countries with whom Spain maintains collaboration agreements.