Dear Clients,

We want to remind you that the declaration period of the 720 model has already begun. This declaration is an informative one about the whole assets and rights located abroad. We are going to analyze the basic aspects to consider.

1.Who is obligated to declare by the Model 720:

Are obligated to declare this model the natural and legal persons that are tax resident in Spain, the permanents establishments of natural or legal persons non tax resident in Spain, recumbent inheritance and common property.

2.Assets and rights to declare:

By this model should be declared the following assets and rights:

1. Bank or financial institutions accounts located abroad.
2. Deposited, managed or earned titles, securities, rights, insurances and incomes abroad.
3. Properties o rights on properties located abroad.

3.Obligation to declare/ When you must declare:

2. First declaration: When it is exceeded for the first time the 50.000 euros limit in the whole of the assets and rights mentioned in the previous point.
3. Second and following declarations:
   1. When the value of assets already declared increase (not decrease) of more than € 20.000 before the current fiscal year.
   2. When an asset or right is acquired abroad.
   3. When any of the declared assets or rights leaves the taxpayer heritage.

4.Fines:

1. When the declaration is submitted after the deadline without prior tax authorities request: The penalty will be 100 euros per item or data set related to each asset or individually considered on its class, with a minimum of 1.500 euros.

2. When the declaration is submitted after the deadline with prior tax authorities request: The penalty will be a fine of 5.000 euros for each item or data set related to each asset or considered individually according to their class, that should have been included in the declaration or have been provided incomplete, inaccurate or false, with a minimum of 10.000 euros.

5.Deadline of submission:

The deadline for presentation of the model 720 is 31 March each year.