- The Ministry of Finance has opened a public consultation on expanding formal tax information reporting obligations in the financial sector
- The aim is to update obligations to include new financial market actors and services, such as payment institutions and electronic money, to address challenges posed by digitalization and economic globalization
- Issues to be addressed include lack of information on payment institutions, electronic money entities, and foreign entities without a presence in Spain, as well as limitations in fraud detection due to annual reporting
- The reform is necessary to adapt to the changing financial market reality and aligns with the Tax Agency’s 2024-2027 Strategic Plan emphasizing preventive measures against fraud
- Objectives of the new regulation include extending reporting obligations to payment institutions, changing reporting frequency to monthly, including data on real account holders, and introducing an annual obligation on high-value card transactions
- The preferred solution is to modify the General Tax Management and Inspection Regulations through a royal decree to ensure compliance with tax laws and enhance tax fraud prevention and supervision.
Source: audiconsultores-etlglobal.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
