The Treasury has made public the informative models that are expected to be required from 2023 onwards to report on transactions made with cryptocurrencies. See what these new forms are and how they affect you.
Forms 172 and 173
“Exchange platforms”.If you have bitcoins, ethereum, ripple, nxt…. and make purchases, sales and/or exchanges of these virtual currencies, you should know that the so-called “exchange platforms” -the entities through which these types of transactions are carried out- are going to be obliged to report them. Note. Specifically:
- This obligation will apply to entities resident or with a permanent establishment in Spain that allow transactions with cryptocurrencies or provide maintenance and storage services of virtual currencies (or similar).
- They will have to provide such information for the first time during the month of January 2023, and with respect to the fiscal year 2022.
Form 172. These platforms must file form 172 (Informative declaration on balances in virtual currencies), in which they must inform the Tax Authorities, among others, of the following data:
- The identification of the persons or entities that have been holders, authorized or beneficiaries of virtual currencies at some time during the year.
- Data on the number of virtual currencies as of December 31, as well as their quotation value and public keys of such currencies. Attention! This information will make it possible to verify that these assets are later declared in the Wealth Tax.
Form 173. On the other hand, they must also file form 173 (Informative declaration on operations with virtual currencies), declaring the operations of acquisition, transmission, exchange and transfer of virtual currencies carried out during the year, as well as the collections and payments made in said currencies. This declaration must also include the commissions and associated expenses received by the platform. Note. With this information, the Tax Authorities will be able to verify that these transactions have been correctly declared for Personal Income Tax and Corporate Income Tax purposes.
Form 721
Cryptocurrencies abroad. Since the Treasury can only oblige to declare exchange platforms located in Spain, in case you have cryptocurrencies in entities located abroad, it will be you who will have the obligation to inform about them. Note. To do so, during the first quarter of each year you will have to file the new form 721 (Informative Declaration of virtual currencies located abroad). Thus, for the first time, in the first quarter of 2023 you will have to report on the year 2022.
This new declaration is very similar in its content to form 720, which is already used to declare other assets located abroad:
- Only taxpayers who as of December 31 of the previous year have been holders, authorized or beneficiaries of cryptocurrencies abroad for a combined balance of more than 50,000 euros will file form 721.
- Those legal entities or entrepreneurs who have registered such virtual currencies in their accounting, individually and correctly identified, will not be obliged to file a tax return.
- The filing of Form 721 in the following years will only be required when the balance of virtual currencies has increased by more than 20,000 euros.
Platforms established in Spain that allow transactions with cryptocurrencies must inform the Treasury with forms 172 and 173. The holders of cryptocurrencies must declare those held abroad with form 721.
