Anti-fraud law: cash limits, new taxes and tighter controls

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1. The general cash payment limit drops from 2,500 to 1,000 euros when a business or professional is involved. For individuals whose tax residence is outside Spain, the limit is 10,000 euros.
2. In the Inheritance and Gift Tax and the Transfer Tax, the taxable base becomes the market value. For real estate, the Cadastre's reference value applies, unless the declared value is higher.
3. The law transposes the EU directive against tax avoidance. It regulates the exit tax: if a company moves its residence or assets abroad, payment can be split into five annual installments when the destination is the EU or the European Economic Area.
4. SICAVs can only apply the 1% tax rate if each counting shareholder invests at least 2,500 euros (12,500 in compartment funds) and that minimum is held for three quarters of the tax period. A transitional regime applies to those that dissolve and reinvest.
5. Two new reporting duties cover virtual currencies: one on balances held in custody and another on purchases, sales, swaps, transfers, collections and payments. Holders must also report virtual currencies located abroad to the Tax Agency.
6. The law bans any extraordinary tax regularization mechanism that reduces the tax debt. Penalty reductions are raised: 65% for audit settlements and 40% for early payment.
7. Invoicing and accounting software must guarantee the integrity, traceability and unalterability of records. Producing, selling or using non-compliant invoicing software carries fines of up to 150,000 euros.
8. A control regime for raw tobacco is created, with an operator registry, a ban on retail sales and penalties. Machines for making tobacco products held by unauthorized persons are treated as prohibited goods under smuggling law.

Who it affects

• Businesses and professionals: Must comply with the new 1,000-euro cash limit and the new real estate valuation rules when buying or inheriting.
• Virtual currency holders: Must report crypto balances and transactions to the Tax Agency, both in Spain and abroad.
• SICAVs and their shareholders: Must meet minimum investment requirements per shareholder to keep the 1% rate or use the transitional dissolution regime.
• Raw tobacco operators: Must register, keep accounts and document the movement of the product.
• Taxpayers facing penalties: Benefit from higher penalty reductions (65% and 40%) if they pay or accept the debt.

Words worth knowing

Impuesto de salida (exit tax)

A tax applied when a person or company moves their residence or assets out of Spain, taxing unrealized capital gains.

SICAV

A variable capital investment company, a collective investment vehicle that could previously pay tax at a 1% rate.

Valor de referencia (reference value)

A value set by the Cadastre for each property based on actual sale prices, used as the taxable base in some taxes.

Jurisdicción no cooperativa (non-cooperative jurisdiction)

A country or territory with low or no taxation, lack of transparency or no effective exchange of tax information with Spain; it replaces the old tax haven concept.

Acta con acuerdo (audit settlement)

A tax audit document in which the Administration and the taxpayer accept the facts and the proposed adjustment.

It summarizes the law as published in the BOE. It is written by artificial intelligence and may contain mistakes: the official text is what counts. Read the official text · How we make summaries