Yearly “Información Fiscal” Report
If you have a Spanish bank account or hold investments in Spain, your bank will issue a yearly statement known as the “información fiscal”. This report is essential for completing your Spanish income tax declaration, and it should be forwarded to your tax advisor as part of your 2025 tax filing.
The información fiscal provides a summary of all investment-related income obtained through the bank during the tax year. This includes interest, dividends, capital gains, and any income tax withheld by the Spanish Tax Office.
Capital Gains from Share Sales
When it comes to the sale of shares, the report will detail all transactions carried out in 2025 and will also calculate the capital gains (CG) generated. If you sold all shares in a single transaction, the information provided is typically accurate. In such cases, if any of the shares were acquired prior to 31 December 1994, your accountant will apply the relevant reductions available under Spanish tax law.
However, caution is advised in more complex situations. If you have sold shares in partial amounts over different years, the capital gains must be calculated using the FIFO (first in, first out) method. This rule determines the order in which your share purchases are considered to have been sold, which can significantly affect the final capital gain.
Why the Bank’s Report May Be Inaccurate
Problems arise when the shares being sold were originally purchased through different banks. The información fiscal issued by one bank may not have access to your full investment history if purchases were made across multiple institutions. As a result, the calculation of capital gains may be incorrect, particularly in the case of partial sales.
The report can be considered reliable only when all the relevant share purchases and sales were conducted through the same bank. If your investment history spans several banks, it will be necessary to review and recalculate your capital gains manually to ensure accuracy.
What You Should Do
To avoid mistakes in your tax return:
- Always provide your tax advisor with the información fiscal issued by your bank.
- Inform them if any share purchases were made through other banks or investment platforms.
- Ensure that the FIFO method has been correctly applied, especially in the case of partial sales made over different years.
- Review the capital gains calculations independently if multiple banks were involved.
Understanding the limitations of the información fiscal will help you to comply with the Spanish tax regulations and avoid discrepancies in your tax filings. Where necessary, seek advice from a qualified tax professional, as Spence Clarke, to ensure that your capital gains are calculated accurately.
