Tel: +34 93 665 8596 |


Modelo 720 – the end of late filing fees?

By John Hayward
This article is published on: 28th January 2022

Is this the end of ridiculously huge fines for the Modelo 720?

Although the ECJ has not stated that the Modelo 720 (the declaration by Spanish tax residents of assets outside Spain) is illegal, the European Court of Justice agrees with the European Commission that Spain has failed in its obligations under the free movement of capital because Spain has been charging disproportionate fines for non or late disclosure. The ECJ notes that Spain does not treat the disclosure of Spanish assets in the same way.

Spain has seemed to ignore pressure before on this subject but the ECJ has stated that, if Spain does not address this issue, Spain will face large fines. Perhaps this time Spain will act.

The Modelo 720 – Does this affect me?

In 2013, the Spanish government launched an “anti-fraud” plan to prevent tax evasion. It appears that this was originally aimed at Spanish nationals who were “hiding” their money outside Spain, but it soon became applicable to non-Spanish nationals living in Spain.

The Modelo 720 has to be completed by 31st March of each year and is based on assets held as at 31st December of the previous year. In general, you will be deemed tax resident if you are in living in Spain for more than 183 days of a calendar year (which is the same period as the tax year).

Article by John Hayward

If you are based in the Costa Blanca area you can contact John at: for more information. If you are based in another area within Europe, please complete the form below and we will put a local adviser in touch with you.

Contact John Hayward direct about: "Modelo 720 – the end of late filing fees?"

    The Spectrum IFA Group is committed to building long term client relationships. This form collects your name and contact details so we can contact you about this specific enquiry. For further information, please see our Privacy Policy.