What do I
need to do?
Click on the moons on the right to read more about what action you need to take and when to take it.
Click on the moons on the right to read more about what action you need to take and when to take it.
Here’s what you should be doing now
Registration for tax and notification purposes
You should normally register with the Tax Agency Delegation corresponding to your tax domicile through Form 030 - Registration and communication of the new tax address with the Spanish Tax Authorities - if it can be assumed that your stay in Spain will last for at least one year.
The filing of this form would be necessary at the beginning and at the end of the assignment, in order to communicate to the Spanish Tax Authorities, the change of tax address and, where appropriate, tax residence status.
Updating your address with the Spanish tax authorities is important for notification purposes, but it will not determine whether you are deemed as Spanish tax resident or Spanish non-tax resident. It must be updated every time that you change it whether in Spain or abroad, through the aforementioned form. The Spanish tax authorities will send you any communication or letter to the address indicated and if it is not duly updated it cause problems to the taxpayer (i.e., seizure or “embargo” of bank accounts for non-attended debts).
According to the General Tax Law in Spain, the taxpayer has a period of 3 months to communicate the change of domicile from the date of the modification of the same.
To complete and submit online the form 030, the following information is needed:
In case you meet all the requirements for Special Tax Regime and you decide to opt for it, kindly note that you only have 6 months following the date on which you register with the Spanish Social Security Authorities (or obtains the certificate of Social Security coverage in the home country) to file Form 149, with no possible extension. Once this period has expired, it is not possible to apply for the Special Tax Regime.
Complete your GA calendar
It’s important to keep your Deloitte Calendar up to date at all times. This is used by the Deloitte team in Spain and in any other countries in which Deloitte is supporting with your compliance requirements.
The calendar:
Click here to view how to complete your GA calendar.
Keeping your Calendar up to date at all times ensures we correctly assess your Spain tax residence position and can determine the taxable portion of your pay that needs to be reported in Spain.
Retain all relevant records
It’s important to retain all relevant records for the period you’re working in Spain. These include (list not exhaustive):
These records may be required for accurate completion of your Spanish tax return and will be needed if the Spanish Tax Agency decide to audit your tax return.
The Spanish Tax Agency has 4 years from the deadline to submit the tax return (30th June of the year following the accrual) to audit your tax return and may request additional documents when auditing your Spanish tax return; in this case they would issue a request for additional information.
Tax data questionnaire
If Deloitte is authorised to assist with your Spanish tax return, we will reach out and ask you to complete to complete your Tax Data Questionnaire following the end of the tax year in December. This is an online questionnaire which, when filled out, should give us all the information we need to complete your tax return.
Note, that you are personally responsible for the reporting and payment of your Spanish taxes. If Deloitte assists you with the filing, it is still your personal responsibility that the tax return includes all your income and assets and that your tax assessment is correct under Spanish tax legislation.
If all income or assets are not fully disclosed in your Spanish tax return, a subsequent correction attempt by the STA could subject you to a penalties and interest charges on the amount of tax due.
The sooner you can submit your information, the sooner we can make a start on your tax return. We’ll let you know once it is complete so you can review and approve it via the GA Portal.
Form 720/721
From January 1st, the Form 720/721 can be submitted.
Note, that that Spanish ordinary tax resident individuals must provide the tax authorities with information regarding the assets and rights of which they own, and which are located outside Spain on 31 December of a given year.
This return on assets located abroad must be filed in the period from 1st January to 31st March of the year following that to which the information relates.
If you are resident in Gipuzkoa, a different deadline may apply in relation to Form 720 (April- June 30th).
Once the Spanish tax season starts, and you are able to use the AEAT’s online platform to prepare and submit your tax return between April and June 30th, with no available extensions.
The forms that should be submitted are the following:
Form 100 - Annual Tax Return and Form 714 - Wealth Tax Return
The period for filing the Personal Income Tax return (Form 100), is determined by Ministerial Order for each tax year, and is generally the period running from mid-April to June 30th of the year following the accrual.
During this time, the STA provides you with your tax data and a draft of your tax return with the information that has been reported to the tax authorities.
If Deloitte is authorised to assist you with the preparation of the tax return, Deloitte will contact you to request the necessary information. So, it’s important that you do not file your Spanish tax return on your own or approve the pre-printed tax return once issued by the Tax Agency.
If you exceed the limits, the deadline for filing your Wealth tax return (Form 714) is June 30th of the next year following to the tax year of reference. Form 714 – Wealth Tax Return.
Different deadlines may apply if you are a tax resident in a foral territory in relation to the Annual Tax Return (form 100) or the Wealth tax return (form 714). For example, in Alava, the deadline runs from April 3th to June 25th of the year following the accrual and in Navarre, the deadline runs from April 12th and June 23th of the year following the accrual.
Form 718 - Temporary Solidarity Tax on Large Fortunes Return calendar
If you exceed the limits, the deadline for filing your Temporary Solidarity Tax on Large Fortunes Return (Form 718) between July 1st and 31st of the year following the date of accrual thereof.
If you opt for direct debit of the fee to be deposited, the presentation will be made until July 26th, and the account will be debited on July 31st.
There are penalties for late filing of your tax return, therefore, it is very important you remember these dates.
After submitting your tax return there may be an overpayment or underpayment showing:
Overpayment
The repayment due in your tax return will be paid into the bank account reported in the tax return, the STA will review your tax return and proceed with the tax refund.
Please note that the Spanish Tax Authorities can take up to 6 months from the deadline to submit the tax return (June 30th) to proceed to the payment of the refund. If the refund is not paid within the six months period, delay interests will arise in your favour, and they will be paid together with the refund.
Underpayment
When there is a tax due, the Spanish tax authorities allow different payment methods. Most commonly used in practice are as follows:
This is the most common payment method. The Spanish Tax Authorities collect the amount due directly form the bank account reported in the tax return.
In order to set up the direct debit, the tax return must be submitted before June 25th.
The bank account reported must have enough funds to front the tax payment. Otherwise, the Spanish Tax Authorities will understand that the tax return was not filed on time and hence a surcharge might be imposed by the Spanish Tax Authorities for late submission.
Additionally, STA will reject the charge if you are not the holder of the bank account reported. For this reason, it is mandatory to report a bank account in which you remain as the holder/owner.
The CRN is a code issued by the bank to justify that an amount has been locked in your account for the purposes of settling some taxes. It must have 22 digits, which will include (in an encrypted way) the taxpayer’s tax ID, the amount due, the form, the tax year, and the period the tax is related to.
To ensure the CRN is valid, it is essential that the details provided to the Bank to settle the payment are correct. For this reason, should you select this payment option, Deloitte will provide you the specific details for you to manage with your bank the collection of this Code.
