Regulatory Alerts2012-10-30
Law 7/2012, of October 29, amending tax and budgetary regulations and financial regulations to intensify actions in the prevention and fight against fraud
The Spanish State enacted Law 7/2012 to strengthen the fight against tax fraud by introducing stricter measures regarding cash payment limits, information obligations for foreign assets, and enhanced administrative and criminal precautionary measures. The legislation modifies the General Tax Law and General Budgetary Law to expand joint liability for public credits, clarify succession rules for dissolved entities, and establish new infractions for non-telematic filing and cash transactions exceeding 2,500 euros. Additionally, it updates VAT regulations to prevent fraud in real estate transactions and bankruptcy scenarios, while adjusting personal income tax estimation methods and simplifying declaration profiles through flexible ministerial orders.