Guide: Work & Taxes
Modelo 720 for Expats in Spain: Who Files and How to Reduce Risk
A practical 2026 guide to Modelo 720 for Expats in Spain: Who Files and How to Reduce Risk for expats moving to Spain, with clear steps, required documents, and timeline planning.
Spain can absolutely improve your quality of life, but bureaucracy and planning mistakes can make this part of the move expensive. This guide covers Modelo 720 for Expats in Spain: Who Files and How to Reduce Risk so you can identify whether foreign-asset reporting is required and prepare clean evidence early.
Last reviewed on February 11, 2026. Rules, office criteria, and processing times can change. Confirm current requirements with official sources before filing or paying fees.
Clear promise
By the end of this guide, you should be able to make a confident go/no-go decision and execute the next steps without guessing.
Quick reality check
This path is usually a good fit if:
- You want to quantify tax impact before committing to a city or visa path.
- You prefer compliance-first planning over paying to fix late filings.
This path is harder if:
- You have cross-border income, pensions, or assets with mixed tax treatment.
- You are moving mid-year and your tax residence may split across countries.
Decision questions to answer first
- Which foreign asset categories apply to your household?
- Do reported values and thresholds likely trigger filing duties?
- How should accounts/assets be documented to survive follow-up questions?
Step-by-step main guidance
1. Classify foreign assets into reporting categories.
2. Confirm valuation methodology and cutoff dates.
3. Document ownership percentages and account control details.
4. Prepare filing draft and evidence index before deadline pressure.
5. Archive support files for audit/readiness purposes.
Costs, timing, and required documents
Use these ranges for planning, not as guarantees:
- Data collection and classification: 1 to 4 weeks for most households.
- Advisor review and planning model: 1 to 3 weeks depending on complexity.
- First filing cycle in Spain: quarterly and annual deadlines require calendar setup.
Core documents to prepare:
- Foreign account statements and year-end valuation records.
- Investment and property ownership documents outside Spain.
- Joint ownership evidence and percentage allocations.
- Historical reporting records if you filed previously.
- Working papers that tie each reported figure to source documents.
Common mistakes and how to avoid them
- Ignoring jointly held assets because balances appear split across owners.
- Keeping summary totals without source statements by category.
- Confusing immigration residency dates with tax residency rules.
Final action plan: what to do this week
- List all foreign accounts, assets, and ownership shares.
- Collect year-end statements and valuation evidence.
- Draft category-level totals with source cross-references.
- Book a technical review before submission.