Residents' 720 Form

Dear Sir,

I never seem to be able to remember when and if I have to submit the 720 Form.

I would be most grateful if you could explain.

ANSWER

The Special Informative Declaration 720 is obligatory for all those who are resident for tax purposes in Spain. Including those of Spanish nationality. I mention this, because sometimes foreign residents believe they are being discriminated. This declaration includes everyone.

The object of this obligation is to disclose any assets situated outside of Spain. This can be divided into three main points: Bank accounts, financial instruments and insurance and immovable assets (property).

1 Bank accounts

This includes any current accounts, saving accounts, deposit and credit accounts and any other type of account or financial deposit.

The information that must be disclosed is:

a) The full name of the bank together with the address.

b) Complete identification of the accounts.

c) Balance of the accounts on December 31 and the average balance during the last quarter.

d) Date of when the account was opened.

The obligation to declare this does not exist when the balances on December 31 is under €50,000 in total.

2 Financial instruments and insurance

This point includes any shares, investments funds, company shares, insurance policies, annuities, trusts, etc. The information must include:

a) Full name of insurance company together with their address.

b) Balance on December 31 of the values and rights (value of the shares and or funds in these companies).

c) Annual income or annuities of which one may be the beneficiary on December 31, as a result of having invested capital, with the indication of the value at that time.

The obligation to declare this does not exist when the values of balances on December 31 are under €50,000 in total.

3 Immovable assets (property)

This information must include: a) Identification of the type

of property (building land, farm land, house, apartment etc)

b) Situation of the property with the exact address. c) Date of acquisition. d) Value of acquisition. This information will also affect those who were the owners at any time during the year, and ceased being the owners before December 31, if the ownership was transferred prior to this date, the information has to include the date and value of the sale.

The obligation to declare this does not exist when the purchase price is under €50,000 in total.

This informative declaration has to be presented before March 31 of 2020, corresponding to the information ending on December 31 of 2019.

If you have previously filed this 720 Form, the obligation for this year (2019) will only exist when the value of any of the above groups have increased by

€20,000, in comparison with your previous declaration.