New legal regulation on obligatory information to be provided to Spanish authorities about private financial transactions with abroad

08 May New legal regulation on obligatory information to be provided to Spanish authorities about private financial transactions with abroad

A new regulation in Spain for residents who carry out transactions with abroad has been approved and shall be applicable from January 1st, 2013.  Here is a translation of its contents:

First rule. Obligation to report.

The present regulation is for individuals and legal persons (public or private) who are resident in Spain, other than providers of payment services entered in the official register of Bank of Spain, when they carry out transactions with non-residents (acts, business and operations that involve or derive in charges, payments and/or exterior transfers, as well as variations in accounts or financial debtor or creditor positions) or maintain assets or liabilities with the outside.

Second rule. Content of the information.

Residents mentioned in the previous rule shall inform the Bank of Spain, with the periodicity and exceptions which are determined in the following rule, about situations and movements listed below:

• Operations with non-residents, whatever their nature and regardless of how these are settled, i.e. by means of foreign transfers, or through payment or debts in bank accounts or inter-company settlements, be it by offsetting or by delivery of cash.
• Balances and changes in assets or liabilities with abroad, whatever form that will materialize (accounts in banking or financial entities, accounts between companies, deposits of cash or securities, equity, instruments of debt, financial instruments, derivatives, real estate, etc.).

Third rule. Periodicity of the information and exceptions.

1 In order to accomplish the information’s remittance, the following periodicities and deadlines are applicable, depending on the amounts reached by the transactions with non-residents and balances of assets and liabilities with the outside:

• Monthly, and within 20 days after the end of each calendar month, if these transactions on the immediately preceding year’s, or balances of assets and liabilities at 31 December of the previous year, are equal or superior to EUR 300 million.
• Quarterly, and within 20 days after the end of each calendar quarter, if the amounts of transactions during the immediately preceding year, or balances of assets and liabilities on December 31 of the previous year, are equal or exceeding EUR 100 million and less than EUR 300 million.
• Annually, and no later than January 20 after the following year, if the amounts of transactions during the immediately preceding year, or balances of assets and liabilities on December 31 of the previous year, are less than EUR 100 million. However, when the amount does not exceed EUR 1 million the Declaration is only to be sent to the Bank of Spain at the express request of this, within a maximum period of two months from the date of request.