Promoting cooperative relationships

• Two codes are created, one for associations and colleges of tax professionals, and another specific for the advisors themselves, with commitments on their part as well as on that of the Agency.
• Associations and colleges undertake to inform the AEAT of any irregularities detected by their members that may affect the normal functioning of the tax system or competition in the market.
• Tax intermediaries who assume the advisors' code must prevent and encourage the correction of client behavior that may imply significant tax risks, taking into account quality standards that will be set by associations and colleges.
• The creation of a logo that identifies the associations and colleges, as well as the intermediaries, that have adhered to the code will be studied.
• The AEAT undertakes, among other actions, to speed up the knowledge, by the participating intermediaries, of the facts that may be subject to regularization.

July 3, 2019.- The members of the Forum of Associations and Colleges of Tax Professionals approved yesterday the texts of the Code of Good Practices of Associations and Professional Colleges, and of Tax Professionals. The codes were approved by seven of the associations and colleges represented, with one abstention and one vote against, and were supported by the Agency itself.

These instruments establish a series of principles and commitments to advance the development of the cooperative relationship model between the Tax Agency and the representatives of tax intermediaries, as well as with the tax professionals themselves, and to promote the generalization of good tax practices by taxpayers.

The codes are open to voluntary adherence, both by representatives of tax professionals, through ratification by their respective decision-making bodies, and by tax intermediaries themselves.

Chaired by the head of the Directorate General of the AEAT and with the participation of representatives of the Agency and nine associations and colleges of tax professionals, the Forum of Associations and Colleges has among its objectives the promotion of voluntary compliance and the prevention of tax risk. This model is now intended to be promoted by providing the forum with a tool so that associations and colleges on the one hand, and the tax intermediaries themselves on the other, voluntarily assume commitments to transparency, responsibility and deontology in the development of their functions.

Commitments made

In accordance with the agreed commitments, associations and colleges must have a Code of Ethics for the activity of tax advice on a voluntary basis for their members, or an equivalent instrument, which is accessible through the website of the corresponding college or association. In any case, intermediaries who subscribe to the professional code must adhere to the Code of Ethics, or equivalent instrument, of the association or college to which they belong.

Likewise, associations and colleges undertake to inform the Tax Agency, respecting the limits of professional secrecy, of any irregularities detected by their members that may affect the normal functioning of the tax system or competition in the market, offering evidence of the irregularities when available. The members themselves, the tax intermediaries, will assume the same commitment to report any irregularities they become aware of, although in this case they will report them to the associations and colleges.

In turn, the participating tax intermediaries must prevent and encourage the correction of client behaviour that is intended to cause significant tax risks, warning them of the illegality of any misleading, fraudulent or malicious behaviour they detect, and not collaborating in its execution.

All of this taking into account quality standards that will be set by the associations and schools themselves. These rules will serve as a guide for members to oppose conduct such as double accounting, the use of dual-use software or making cash payments above the legal limit, as well as fictitious tax relocation operations, and also to oppose the fraudulent use of both aggressive tax planning structures and bankruptcy proceedings, among other cases.

Intermediaries also undertake not to include in their tax strategy design the use of shell companies located in tax havens and non-cooperative territories, in order to prevent or hinder the Tax Agency from knowing who is ultimately responsible for the activities and the ultimate owners of the assets and rights involved.

The Tax Agency's commitments include, among others, establishing a specific communication channel on its website with associations and colleges, publishing criteria for general application and promoting existing legal instruments to reduce conflicts.

The Agency is also committed to individualizing and personalizing the service provided to tax intermediaries who adhere to the Code of Good Practices for Tax Professionals, improving the functionality of the appointment application.

Likewise, under the conditions set out in the code, the Agency undertakes to provide the participating intermediaries with knowledge of the facts that may be subject to regularisation as soon as possible so that they can carry out the evidentiary activity in defence of their interests as soon as possible.

Advertising of memberships

Provided that it obtains express consent, the AEAT may provide information on its website about the associations and colleges, as well as the tax intermediaries that adhere to each of the two codes.

In addition, the creation of a logo to identify the associations and schools, as well as the intermediaries, that have joined this system will be studied.

Once the texts of the codes of good practice have been approved, the AEAT and the affiliated associations and colleges will be responsible for defining the treatment to be given to possible cases of non-compliance with the commitments reached.