14. Virtual currencies

Regulations: Articles 24 Wealth Tax Law, 39 bis RGAT and first transitional provision Royal Decree 249/2023, of April 4

Article 1.5 of Law 10/2010, of April 28, on the prevention of money laundering and the financing of terrorism, which was introduced on the occasion of the transposition of the Directive ( EU) 2018/843 of the European Parliament and of the Council of 30 May 2018 defines to "virtual currency" (also called "cryptocurrency") as "that digital representation of value not issued or guaranteed by a central bank or public authority, not necessarily associated with a legally established currency and which has no status legal currency or money, but which is accepted as a medium of exchange and can be transferred, stored or negotiated electronically ."

Directive ( EU) 2018/843 of the European Parliament and of the Council of 30 May 2018 amended Directive ( EU) 2015/ 849, to add the legal definition of “virtual currency”, incorporated by the aforementioned Law 10/2010. However, it should be noted that Directive ( EU) 2015/849 has recently been amended by Regulation ( EU) 2023/1113, of May 31, to eliminate the definition of virtual currencies and incorporate the much broader term of “cryptoassets” that covers different types of virtual assets, among which would be “cryptocurrencies”, although said Regulation will be applicable from December 30, 2024. For its part, the concept of cryptoasset is defined in Regulation ( EU) 2023/1114 (MiCA).

Taking this definition into account, virtual currencies are considered, for tax purposes, as intangible assets, computable in units or fractions of units, which are not legal tender, but which are used as a means of payment as they can be exchanged for other assets, including other virtual currencies, rights or services if they are accepted by the person or entity that transfers the asset or right or provides the service. Since virtual currencies have economic content, like the rest of the assets owned by the taxpayer of the Wealth Tax, they must be declared.

In the Wealth Tax, the taxpayer must declare the balance in euros of each virtual currency that he/she owns on the date of the tax accrual (December 31).

To carry out the valuation in euros, article 39 bis of the RGAT , establishes the following rules:

• The quote will be taken at 23:59 on December 31st as offered by the main trading platforms or price monitoring websites or,

• In the absence of the above, a reasonable estimate of the market value in euros of the virtual currency as of December 31 will be provided.

  Please note that this estimated value must be provided by persons and entities resident in Spain and permanent establishments in Spanish territory of persons or entities resident abroad, where your virtual currencies are deposited, in accordance with the data recorded in form 172 (informative declaration on balances in virtual currencies) that said depositors are required to submit.