Short answer
Modelo 720 is completed and filed online through the electronic office (Sede electrónica) of the Spanish Tax Agency (AEAT), using a digital certificate, an electronic ID card (DNIe) or Cl@ve. You create one record for each asset held abroad, stating its asset-type code, the country, the institution, the date it was acquired and its value at 31 December.
Step by step
- Check whether you must file. Add up each category (accounts, securities and insurance, real estate) and see whether any exceeds €50,000. If you filed in a previous year, check whether any category has risen by more than €20,000 or whether you have closed any asset.
- Gather your documents. For accounts, ask your bank for the balance at 31 December and the average balance of the fourth quarter. For securities and funds, get your broker’s statement showing the value at 31 December and the number of units. For insurance, the surrender value. For property, the deed showing the purchase price and date.
- Open the form. In the AEAT’s electronic office, go to “Modelo 720. Declaración informativa sobre bienes y derechos situados en el extranjero” and choose to file using the online form (or by uploading a file if there are more than 40,000 records).
- Enter the filer’s details. Your tax ID (NIF/NIE), name and contact phone number. If this is a supplementary or replacement return, give the number of the earlier one.
- Add each asset. Enter the asset-type code: C for accounts, V for securities, I for investment funds (IIC), S for insurance and annuities, and B for real estate. Then add your capacity (holder, authorised person, beneficiary or beneficial owner), the country code and the institution’s identification (BIC and account number, or ISIN). Next comes the origin code: A if the asset is being reported for the first time, M if it was already reported, and C if it has ceased to exist. Finally, enter the date and the value.
- Validate and submit. The system flags errors. Sign the submission and save the PDF receipt.
If you hold deposits through Raisin. Raisin is only an intermediary: the deposits are held at banks in other EU countries. Each deposit is therefore reported under code C, naming the bank that holds it (not Raisin) as the institution, with its country, BIC and IBAN. The €50,000 threshold is calculated by adding together all your accounts abroad.
Common mistakes
- Reporting only the amount above €50,000.
- Leaving out the average balance of the last quarter for accounts.
- Not reporting accounts closed during the year.
- Splitting the balance between joint holders, when each must report 100%.
A mistake on the return can lead to a penalty of €20 per data item.
At Taxmind we prepare and file your Modelo 720 with every record checked, including when you have accounts, brokers or deposits in several countries.
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This answer is general information and does not replace advice on your particular case.