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V2643-17 17 October 2017 · SG de Tributos Criterion in force
OTRO · modelo 720

Obligation to file Model 720 following loss of foreign shareholding

A taxpayer asks whether they must file Model 720 for 2017 after selling shares worth 20,000 € and buying others worth 5,000 €, having declared 60,000 € the previous year. The DGT responds that the declaration is required due to the loss of ownership of the sold shares, but not for the acquisition of new shares.

The question raised

Question posed: Must the informative declaration on assets and rights located abroad (Form 720) for the 2017 fiscal year be filed?

The DGT's ruling

The obligation to report the loss of ownership of securities or rights at any time during the year is mandatory, even if one is not the owner as of December 31. On the other hand, the filing of the tax return in subsequent years is only mandatory if the combined value of the assets exceeds the value determined in the last filed return by 20,000 euros.

Apply this to a real case

What is published here, applied to a company or a specific case. The first meeting is free.

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