The Spanish Revenue and Cryptocurrencies
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It was published in El Pais this morning that the Spanish Revenue is following closely over 15,000 Spanish tax payers that have carried out transactions with crypto currencies during last year.
It transpires that the Revenue got hold of their identities after formally requesting details of crypto currency transactions to mayor Spanish banks and those banks trading in Spain, financial intermediaries and companies. This information was requested through the National Investigation Office Against Fraud which is the body that carries out investigations on behalf of the Revenue.
The Spanish Revenue is keen to ascertain whether Cryptocurrencies are used for money laundering purposes. There is also the issue of the declaration of the gains or profits generated whilst using this type of currencies. In Spain, the gains would be taxed at a rate between 19% and 23% depending on the actual gain.
These policies were implemented early this year when the Revenue published their plan of action which included a series of measures against fraud. It seems that the Revenue is aware that the taxes collected from this currency are not considerably high, however, the Revenue wants to keep a close eye on crypto currency users as these may be used for criminal purposes.
Álvaro Aznar Azcárate
Solicitor and Spanish Abogado
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