Administrative simplification

• The Tax Agency and the Ministry of Foreign Affairs sign an agreement to expedite the assignment of the Tax Identification Number to non-residents without the need to go to an AEAT office

• The measure, which represents another step in the implementation of electronic Administration abroad, will start with a pilot test in eight consular offices located in countries with investment potential and extensive economic-financial links with Spain.

October 15, 2013.

The State Tax Administration Agency (AEAT) and the Ministry of Foreign Affairs and Cooperation have signed today a management entrustment agreement under which the Consular Offices of Spain abroad will be able to process the telematic assignment of the Tax Identification Number (NIF). ) to those citizens and companies not resident in Spain that request it. This new service, which will have a first phase of pilot tests in eight consulates and will be extended to other consular offices in mid-2014, will allow non-residents to obtain their NIF in an agile and simple way without having to travel or send a representative, to an AEAT office.

The agreement, signed today by the Secretary of State for Finance, Miguel Ferre, and the Undersecretary of the Ministry of Foreign Affairs and Cooperation, Rafael Mendivil, will have as beneficiaries those non-residents who intend to carry out an operation with tax significance in Spain, a situation in which which is mandatory to use and record a Spanish NIF.

Specifically, the streamlining measure affects applicants for NIF type 'L' (Spanish nationals residing abroad who are not required to have a national identity document), 'M' (natural persons without Spanish nationality who, temporary or permanent, do not have a foreigner's identity number) and 'N' (legal persons and non-resident entities, without permanent establishment in Spain).

The provision of this telematic service in the consulates, which is part of the group of simplification measures to be implemented by the Commission for the Reform of Public Administration (CORA), will imply advantages for the non-resident in terms of comfort and savings compared to to the alternative of in-person processing in Spain, thus favoring the attraction of foreign investments in Spain.

In the first nine months of 2013, more than 15,100 registrations of tax identification numbers type 'L', 'M' and 'N', the NIF object of the new system, have been processed. Of them, just over 1,300 are non-resident Spanish citizens, 2,000 are foreigners and more than 11,800 correspond to foreign legal entities and entities.

The agreement is part of the Public Administration reform program, regarding the elimination of administrative obstacles and the simplification of the relationship between individuals and companies with the General Administration of the State.

 

Pilot tests and procedure

From this year until July 1, 2014, pilot tests of the new system will be carried out in the consulates of Amsterdam, Brussels, Dusseldorf, Frankfurt, Lyon, Naples, Porto and Washington; all of them located in countries with investment potential and extensive economic-financial links with Spain. In the middle of next year, the extension of the service to a greater number of offices will be evaluated, subject to prior agreement between the Ministry of Foreign Affairs and the Tax Agency.

The processing procedure, completely electronic, is designed to simplify as much as possible the documentation that non-residents must provide. In this sense, translations or legalizations will not be required, unless strictly necessary.

Initially, the applicant, or their representative, will go to the corresponding Consular Office providing the necessary data and documentation. Next, the consulate will fill out an electronic form that will be sent automatically to the AEAT, who, also immediately, will return proof of obtaining the NIF.

After obtaining the identification number, and having a valid electronic signature, the non-resident citizen or company may declare and pay the taxes and fees that apply in Spain from their country of origin, accessing the electronic headquarters of the Tax agency.

The management of the application and assignment of the NIF in the Consular Offices of Spain highlights two of the essential aspects of consular work: that of being a bridgehead for the Spanish Administration abroad, giving non-residents access to administrative services, and that of promoting business with Spain.