Last updated on March 17th, 2026 at 11:31 am.
Every resident in Spain who owns assets outside the country that exceed 50.000€ in any one of the groups that we will discuss later in this article must complete the Model 720 asset declaration form before the deadline of the 31st of March or face possible penalties.
The form is divided into three asset categories:
- Bank accounts (Group 1)
- Investments, life insurance policies and pension plans (Group 2)
- Properties (Group 3)
In this article we explain the most important points about the Modelo 720 asset declaration form. Please be aware that Spanish tax law can be complex and you may face fines if you miss the deadlines or make errors. It is strongly recommended that you seek professional tax advice to avoid these cases.
Do I have assets that need to be declared?
Assets that must be declared can fall into one of three groups:
Group 1: Bank accounts abroad.
If you have bank accounts outside of Spain where the total balance of these together exceeds 50.000€ these will need to be declared. This total is calculated over the accounts as a whole and not dividing the balances between account holders.
Group 2: Investments, private pensions and life insurance policies.
This group covers stocks, shares, investment portfolios, life insurance policies, pension plans and annuities held outside of Spain with a combined valie of 50.000€ or more as of the 31st of December each year. Pension plans may also need to be included if their capitalised value exceeds the threshold on their own or along with other assets in the group.
Group 3: Properties held abroad.
Here you will need to declare properties you own outside of Spain. This covers personal property or commercial real estate valued as of purchase at more than 50.000€
Who needs to complete the form this year?
You do not need to re-submit a Modelo 720 if you filed it last year or over previous years if the value of the declared assets has not increased by more than 20.000€ or if you have not closed/sold any of these assets.
You should revise if a Modelo 720 form needs to be filed this year if:
- You are a new resident in Spain and this is your first tax year as a resident
- You did not file in a previous years and should have done so
- Your financial situation has changed over the last 12 months such as;
- Purchasing or selling property abroad
- Your investments have matured
- You have closed or completely sold previously declared assets
- The value of all assets in a single group has increased by more than 20.000€
- Assets held in a previously undeclared group now exceed 50.000€
What happens if I do not file?
Failure to file a Modelo 720 form on time, or filing one with incomplete or incorrect information can result in fines and penalties under current Spanish tax legislation. These fines vary but can be considerable therefore it is always recommended to consult with a professional as to what needs to be declared and by when.
What should I do next?
Completing and filing the Modelo 720 form can be complicated and requires a digital signature. It is strongly recommended to consult with a tax adviser or fiscal representative who can guide you through the process and advise what information is needed.
The deadline for submitting the forms is the 31st of March each year.
The new Modelo 721 form
The tax office have approved and put in place a new Modelo 721 form specifically for Cryptocurrencies held outside of Spain. This is in effect as of the 2023 tax year and onwards.
As with the Modeo 720 this 721 form must be completed by residents in Spain who hold Cryptocurrecies outside of Spain or, additionaly, individuals who are authorised holders, beneficiaries or have usage rights over these assets provided the total value of these digital assets is above 50.000€
If you have any questions or require assistance in completing and filing the Modelo 720 or 721 forms do not hesitate to contact us on (+34) 96 670 3748 or Request a Call Back.
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8 comments
1 January, 2022 9:45 am
As both my wife & I are in our mid 70’s am I correct in assuming we are not liable for tax on the sale of a studio in th UK, we both are residents in Spain & the sale realised £80k ( less estate fees/ solicitor fees of £2,300-00.
We are clients of ABACO &an annual fee is paid.
4 January, 2022 9:34 am
Hi there,
As the property is not your residential home here in Spain there are no deductions in any possible Capital Gains Tax.
Please do not hesitate to contact us should you have any further queries.
With kind regards,
Ábaco Advisers
29 January, 2023 2:52 pm
I have a question about the modelo 720. I have never had more than 50,000 euros worth of assets outside Spain before, but I currently have 38,250 pounds of premium bonds in the UK, which I am aware is currently worth about 43,500 euros. I am keen to avoid putting more money into premium bonds as I would prefer not to have to submit a modelo 720. The only other thing I have outside Spain is an old company pension in the UK worth about 700 pounds that I cannot access until I reach retirement age.
If I invest 8000 euros in an account like inbestme (which is Ireland), will that take me over the 50,000 limit so I have to submit a modelo 720 declaration, or would there be a 50,000 euro limit for the premium bonds, and another 50,000 euro limit for inbestme because it’s a different class of investment?
Thank you very much for any help you could give me on this.
30 January, 2023 9:53 am
The limit is for the Total held in that group therefore it would be the total between the Investment and the Premium Bonds plus at a later date the Pension once you start to receive.
With kind regards,
Ábaco Advisers
5 February, 2025 10:08 pm
You do not make reference to the need to declare ownership of precious metals like gold and silver in the Group 2 assets.
This is interesting because after researching on many websites and including my own asesoria, nobody appears able to give a definitive answer to this point.
19 February, 2025 1:49 pm
Thank you for your enquiry:
I am attaching the response to a query that was submitted to the General Directorate of Taxes (DGT).
The General Directorate of Taxes (DGT) considers that physical gold stored outside Spain with a value exceeding €50,000 does not need to be declared in Form 720, as its possession does not imply the existence of monetary balances abroad.
According to the DGT, the informative declaration on assets and rights held abroad applies to real estate properties or rights over real estate properties located abroad and to all types of financial accounts, but it does not include works of art, gold bars, or jewelry, as these are not considered financial accounts.
In the specific case consulted, the taxpayer had purchased physical gold through a company based in London, which specializes in this activity. The company allows individuals to buy and sell physical gold via an online platform also managed from London. The gold is stored in vaults, and the transactions are conducted after transferring funds from a Spanish bank account.
Since physical gold is not considered a financial account, it does not need to be declared in Form 720.
We hope this can be of help.
With kind regards,
Ábaco Advisers
28 February, 2025 5:32 pm
With reference to Group 2 Pensions>
Does Capitalisation Value mean the Total Pension paid into my bank account during 2024 from my Works Pension?
3 March, 2025 9:28 pm
Good afternoon,
The capitalised value of a pension for its inclusion on the Modelo 720 form corresponds to the hypothetical “pension pot” left to recieve based upon the annual gross amount recieved and the age of the pension holder.
The tax office provides a official formuale which is used to calcualte this amount which is included if by itself, or alongside other assets held for Group2, the overall total exceeds the 50.000€ minimum.
With kind regards,
Ábaco Advisers
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