Spain has incorporated Country-by-Country Reporting (CbCR) requirements into its domestic tax legislation, in line with OECD/G20 BEPS Action 13. These rules aim to enhance transparency for tax administrations and ensure that profits are taxed where economic activities take place.

This guide outlines the main aspects of CbCR regulation in Spain, including who is subject to reporting, how and when to file, and the consequences of non-compliance.

Regulatory Framework

• Authority: Agencia Estatal de Administración Tributaria (AEAT – Spanish Tax Agency)
• Legislation:
  • Article 13 of Law 27/2014 on Corporate Income Tax
  • Royal Decree 634/2015 (Corporate Income Tax Regulation)
  • Ministerial Order HFP/1978/2016
• International Engagement:
  • Spain is a signatory to the OECD’s Multilateral Competent Authority Agreement (MCAA)
  • Member of the Inclusive Framework on BEPS

CbCR Filing Requirements

• Who Must File:
  • Multinational enterprise (MNE) groups with a consolidated revenue of EUR 750 million or more in the previous fiscal year
  • The Spanish ultimate parent entity (UPE) must file the CbC report unless a surrogate parent entity is designated in another jurisdiction
• Filing Obligations for Spanish Entities:
  • Spanish constituent entities of an MNE group must file a notification (Modelo 231) identifying the reporting entity and jurisdiction
• Deadlines:
  • CbCR Notification (Modelo 231 – Parte 1): Within 3 months of the end of the reporting fiscal year
  • CbCR Submission (Modelo 231 – Parte 2): Within 12 months after the end of the fiscal year
• Submission Method:
  • Electronically through the AEAT website using the XML format prescribed by the OECD

Penalties for Non-Compliance

• Failure to file or incorrect/incomplete submission:
  • Financial penalties of up to EUR 20,000 per year for non-submission
  • Penalties of EUR 15,000 for each incorrect or false data element, up to EUR 150,000 per report

Important Considerations

• Spanish tax authorities may use CbCR data for high-level transfer pricing risk assessments, but not as a substitute for transfer pricing documentation
• Spain exchanges CbC reports automatically with other jurisdictions under the MCAA
• Entities should maintain consistency across CbC reports, Master Files, and Local Files

Useful Resources

• AEAT Official Website: https://www.agenciatributaria.es
• Ministerial Order HFP/1978/2016: https://www.boe.es/diario_boe/txt.php?id=BOE-A-2016-11747
• OECD CbCR Guidelines: https://www.oecd.org/tax/beps/country-by-country-reporting.htm